Over 200 employees across departments have been let go by WayCool Foods, a Chennai-based business in the agriculture supply chain, according to a Moneycontrol story that cited sources with knowledge. This is the third round of layoffs in the company's 12-month history as it continues to reduce losses by streamlining operations following a financial problem. In July of last year, the startup let go of nearly 300 employees, and in February of this year, it terminated 70 more.
This round of layoffs has impacted workers in Chennai, Bengaluru, Hyderabad, and its subsidiaries CensaNext and BrandNext, according to the report, which also stated that the company's financial problems had gotten worse. "Salaries have been delayed in the past, and the company is yet to process the June payslip," according to the source. Client payments are frozen, and funding has dried up."
The situation has gotten worse due to unpaid debts to vendors, which include millers, logistics partners, and service providers like SGSs, the source added. "Vendor payments were made in rotation over the past three months, but this has completely stopped since June as collections from clients have been delayed," the source stated.
