Edtech giant Byju’s is preparing for a restructuring that would let 4,000 to 5,000 employees go.
The overhaul is part of newly appointed CEO Arjun Mohan’s strategic plan to trim costs and streamline its business verticals.
Sources said these changes will be rolled out in the coming weeks.
Those facing redundancies are both permanent and contractual staff members.
The job cuts will primarily affect Think & Learn, Byju’s parent company.
However, many positions slated for elimination are at the senior level.
The overall workforce of Byju’s India may see changes as different teams assess the consequences of these changes.
The company will confine the job reductions to its Indian division.
At least for now, it won’t affect subsidiaries like Aakash or the company’s overseas operations.
Byju’s, which once employed over 52,000 people in 2021, has gradually reduced its workforce over the past year.
The company’s primary focus will be directing attention toward profitable initiatives within its core verticals.
One key strategy is to attract more students to its offline centers, which the company believes is essential for ensuring sustainable operations in the long term.
A company spokesperson said: “We are in the final stages of a business restructuring exercise to simplify operating structures, reduce the cost base, and improve cash flow management.
“Byju’s new India CEO, Arjun Mohan, will be completing this process in the next few weeks and will steer a revamped and sustainable operation ahead.”
However, specific details regarding the restructuring plan were not provided.
Byju’s, valued at $22 billion last year, has faced several business challenges.
It includes the departure of its auditor and board members and discussions regarding the repayment of a $1.2 billion loan in recent months.