Porter lets go of 300 employees in cost-cutting drive

Porter lets go of 300 employees in cost-cutting drive

Logistics startup Porter has laid off 300-350 employees, representing about 18 percent of its total workforce, as the company looks to lower costs and improve efficiencies.

The move comes weeks after Porter raised a total of $300-310 million (Rs 2,600 crore) from a slew of internal and external investors at a valuation of $1.2 billion . It also comes shortly after the new goods and service tax (GST) rules came into effect, increasing compliance cost for logistics providers and goods carriers like Porter.

A company spokesperson said this is a one-time restructuring move. “At Porter, we’re deeply committed to building a sustainable, future-ready business that continues to create value for our customers, partners, and employees. We’re in the midst of a transition that (requires) a one-time restructuring, aimed at building a stronger, more agile, and financially resilient organization for the road ahead,” a company spokesperson said.

“As part of this journey, we’ve had to make some difficult decisions that affect our people, choices that were not easy and were made after careful consideration.”

While Porter did not reveal how many employees were let go, Inc42, a news website which first reported the development, said Porter had 2,000 employees. The company spokesperson said Porter is offering severance pay, extended medical coverage, career transition assistance, and other benefits to the staffers who have been impacted.

The move also comes at a time when Porter is improving its financial health and eyeing an eventual public market listing. Porter’s revenue from operations grew from Rs 2,734 crore in FY24 to Rs 4,300 crore in FY25 as per TheKredible. The firm reported a profit after tax (PAT) of Rs 54 crore in FY25, a turnaround from Rs 96 crore in losses in FY24.