Flipkart To Layoff 1,000 Workers As Part Of Annual Performance Review

Walmart-owned Flipkart will let go 1,000 people, or roughly 5 per cent of its total workforce, as part of its annual performance review exercise, as per reports by Moneycontrol.

The company had approximately 22,000 employees. The overall number of employees excludes Myntra, an e-commerce fashion portal.

Flipkart launches these performance-based labour cost cuts every year, and the recent personnel decrease follows suit.

Flipkart CEO Kalyan Krishnamurthy had a town hall meeting with employees on 25 January, during which he stated that the company's financial situation is improving. He added that Flipkart will be significantly better off by the end of the year. According to a person familiar with the situation, Flipkart's IPO could be delayed until 2025 since unit economics would improve.

To secure Flipkart's financial stability, its parent company, Walmart, the US-based retailer, invested $600 million. The new investment came at a time when Flipkart's anticipated public market debut had been postponed. Flipkart had previously considered an IPO in 2022-23.