Oyo is trying to streamline its operations, minimise costs and improve its bottomline.
Oyo is likely to see further job cuts, which will impact a huge portion of its staff at the head office in Gurugram, according to a report by The Economic Times.
The intensity of the layoffs is “far larger” than expected, senior executives told the publication. The retrenchment will be done across multiple roles and business functions, the report added.
In a separate report, Business Standard said SoftBank-backed hotel chain might sack 100-150 people, most of whom would be cloud kitchen staff.
Oyo is trying to streamline its operations, minimise costs and improve its bottom line. The company has so far not specified the number of staff that will be laid off.
Moneycontrol could not independently verify the reports.
Oyo spokespersons told ET that such rumours are “factually incorrect and misleading,” and denied that further lay-offs might take place.
Initial media reports pegged the retrenchment at over 1,000 employees. One media report even suggested that nearly 2,400 might be fired.
Oyo founder Ritesh Agarwal on January 13 said that asking employees to leave the company “has not been an easy decision”.
In a letter to staff he sad that an implication of the new strategic objectives for 2020, is that the leadership team will reorganise teams across businesses and functions."Unfortunately, some roles at OYO will become redundant as we drive tech-enabled synergy, enhanced efficiency and remove duplication of effort across businesses or geographies. As a result, we are asking some of our impacted colleagues to move to a new career outside of OYO," Agarwal said.Get access to India's fastest growing financial subscriptions service Moneycontrol Pro for as little as Rs 599 for first year. Use the code "GETPRO". Moneycontrol Pro offers you all the information you need for wealth creation including actionable investment ideas, independent research and insights & analysis For more information, check out the Moneycontrol website or mobile app.