Cab aggregator Ola layoff 1400 employees very soon stating a huge drop in their business. Ola has an app-based cab, financial services, and food businesses in India. The company’s revenue has dropped to 95 per cent in the last two months due to the coronavirus virus epidemic.
The company’s CEO Bhavish Agarwal said that in the last two months company income from the ride, financial services and food business has dropped by 95 per cent. This is the main reason for a company to take such a decision to layoff 1400 employees.
Bhavish Agarwal sent and email to its employee and shared this layoff information
In an email sent to employees, Agarwal made it clear that the future of the business is very vague and uncertain. The impact of this crisis will certainly be with us for a long time. He said, “The impact of the virus has been very bad especially for our industry. Our earnings have declined by 95 per cent in the last two months. The biggest thing is that this crisis has affected the livelihood of millions of our drivers and their families. Aggarwal said that the company has decided to lay off 1400 employees.
Also Read: Corona business impact started in India with job loss and pay cuts
Bhavesh Agarwal said that the layoffs would be completed by the end of this week for passenger service. Ola Food and Ola Financial Services will be in another few weeks. He said that no further retrenchment related to COVID_19 will be done after this exercise.
A large number of employees will work from home and o air travel and holiday for sometime
Aggarwal said that a large number of employees will work from home. Air travel will be limited and holiday plans will be postponed. He said that it is certain that the impact of the crisis will be prolonged. The situation is not going to change suddenly after Corona. Social distance anxiety and caution will last a long time on customers minds.
In the last few weeks, technology-based companies such as Uber, Zomato, and Swiggy have announced layoffs. Zomato has laid off 13 per cent of its 4,000 employees. While Swiggy says it is retrenching 3,000 people worldwide. Similarly, Uber is also retrenching 3,000 employees worldwide. Uber plans to close about 45 office locations around the world. Uber may also close its Singapore office in the next 12 months.