Flipkart to slash 1,000 jobs

Shape up or ship out is the latest diktat from Flipkart to its employees.  - Sakshi Post

Bengaluru: With an objective to trim the headcount, Flipkart has offered employees, who have failed to meet professional expectations, an option to either resign or be sent off with severance pay. Shape up or ship out is the latest diktat from Flipkart to its employees.

According to the sources in the know at India’s largest online retailer, about 1,000 employees are likely to be retrenched. The management will ask them to either resign or given severance pay.

The trimming the workforce is part of the e-commerce giant’s bid to build a ‘lean’ organization. Around 3,000 employees are on the rolls at Flipkart. The company’s move to cut down on employees will affect 2.3 to 3.3 percentage of workforce.

The trimming the workforce is part of the e-commerce giant’s bid to build a ‘lean’ organization. Around 3,000 employees are on the rolls at Flipkart. The company’s move to cut down on employees will affect 2.3 to 3.3 percentage of workforce.

Flipkart in May 2016 was in the news for asking campus recruits from IIM-A to defer joining dates due to a restructuring exercise. Flipkart took this decision in a bid to contain its fast burning rate and trim fixed costs, reports stated.

Employees who do not make progress, despite being put on a performance improvement plan must seek other avenues where their skills can be better utilised.

Growth is on the downward curve and many of e-commerce companies are trimming their workforce. With high level exits from Unicorns, lower valuations and a fund crunch staring in the face of start-ups, the once-glowing start-up ecosystem in India is getting grounded with realistic goals.

Growth is on the downward curve and many of e-commerce companies are trimming their workforce. With high level exits from Unicorns, lower valuations and a fund crunch staring in the face of start-ups, the once-glowing start-up ecosystem in India is getting grounded with realistic goals.

A joint report by KPMG and CB Insights recently revealed that funding into start-ups has nosedived by as much as 24 percent from the December quarter of 48 percent to $1.15 billion in the first quarter of this year.



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