Ecommerce firm Dealshare has laid off around 100 employees, around 6% of its 1,500-strong workforce.
The Economic Times was the first to report the development.
Founder and CEO Sourjyendu Medda told ET that the decision is linked to the startup’s business plan for the next financial year with a focus on profitability.
He also added that the massive market downturn that started early to mid last year made the company rethink its business strategy and make changes to its execution plan.
In a statement to YourStory, Sourjyendu said, “As part of our business restructuring plan and to sustain growth, we have taken a difficult decision to reduce the size of the team by 100 employees which constitutes only 6% of the company. We have taken adequate measures to compensate the affected employees.”
The move to reduce workforce has helped Dealshare reduce its monthly burn “to less than 40% of our peak burn” and increase its cash runway, added the ET report.
ET also reported that Dealshare’s annualised gross merchandise value (GMV) run rate dropped by one-third to around $600 million from $900 million last year.
Edited by Saheli Sen Gupta