Ola Electric Plans To Cut 400-500 Jobs
The decision comes as a part of efforts to control operating costs ahead of its initial public offering (IPO)
Ola Electric is reportedly planning to lay off around 400-500 employees across the organisation in the coming weeks as part of efforts to control operating costs ahead of its initial public offering (IPO). While the exact number may still change, the leadership is currently finalising the scale of the layoffs expected.
According to a report in The Economic Times, some of the affected employees might be replaced with new hires at a relatively lower cost, though the overall headcount is expected to decrease. Several teams have already determined the number of cuts, according to a source familiar with the matter. Ola founder Bhavish Aggarwal has been advocating for cost reductions across all departments, the source added.
In its draft IPO papers filed in December, Ola Electric stated that it had 3,733 employees as of October 2023, with an employee attrition rate of 47.48 per cent in FY23. In April, Ola Cabs, a subsidiary of Ola Electric, laid off around 200 employees. Additionally, Ola Cabs' CEO Hemant Bakshi and CFO Kartik Gupta also left the company earlier this year.
