Pink slips will most likely be handed out to staffers in the company's mid-management, business development, sales and operations roles and in some of their technology teams.
Oyo Hotels and Homes will reportedly lay off nearly 2,400 employees in India over this week, The Economic Times reported.
The job cuts would mean a 20 percent reduction in Oyo's staff size in India where the company has an estimated 12,000 employees. The company if further expected to undertake another round of job cuts, to slash workforce by another 20 percent till March-end, sources told the paper.
Moneycontrol could not independently verify the report.
News about lay-offs at Oyo came to light after founder Ritesh Agarwal emailed employees about the developments on January 13. In the letter, to which Moneycontrol has access, Agarwal said that as part of the new objectives for 2020, the company would reorganise its divisions and teams.
"One of the implications of the new strategic objectives for 2020, is that, like the leadership team, we will reorganise more teams across businesses and functions. And this means that, unfortunately, some roles at OYO will become redundant as we further drive tech-enabled synergy, enhanced efficiency and remove duplication of effort across businesses or geographies," he said.
"As a result, we are asking some of our impacted colleagues to move to a new career outside of OYO," he added. Aggarwal did not, however, specify the number of roles that would be slashed.
Pink slips will most likely be handed out to staffers in the company's mid-management, business development, sales and operations roles and in some of their technology teams, the ET report noted. Oyo did not respond to ET's queries on the same.The latest round of lay-offs come as the company is looking to slash its costs and streamline operations. Over the past week, Oyo also retrenched nearly 5 percent of its employees in China, as per a report by Bloomberg.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.