Ola Electric To Lay Off 500 Employees Amid Losses Says Report

Ola Electric is going to do big layoffs. The company has been incurring losses for a long time and its problems are increasing now. The company is under government investigation and is also struggling with controversies. Meanwhile, the electric two-wheeler maker has announced major layoffs. There is news that the company is going to show the exit to 500 employees.

Ola Electric is going to reduce its workforce. The news of removal of 500 employees from the company is coming out. NDTV According to Bhavish Aggarwal-led Ola Electric, it is trying to increase profits by reducing the number of employees. Along with this, the company will also try to boost its operational efficiency. This re-structuring effort of the company will affect the employees of many of its departments.

However, Ola has not said anything about these layoffs yet. Also, it is not clear within how many days these layoffs will be done. According to the report, the company recorded a net loss of Rs 495 crore in the July-September quarter this year, compared to Rs 347 crore in the previous quarter. Ola’s revenue also declined by 26.1 percent to Rs 1,214 crore in the first quarter of this financial year from Rs 1,644 crore.

Company CEO Bhavish Aggarwal said that the company’s operational expenses have decreased quarter on quarter. The company’s revenue will continue to increase as distribution expands. Whereas operational expenditure is likely to remain stable in the next few quarters. The company’s market share declined by 33 percent in the second quarter of the year. Experts believe that increasing competition and service network challenges have affected Ola Electric’s market lead. The shares of Ola Electric also continue to fall, in just a few months investors have lost more than Rs 38,000 crore in the company’s shares.