Edtech firm PhysicsWallah has laid off 120 employees following a performance review process, according to reports. The company stated that less than 0.8% of its workforce, which amounts to around 12,000 employees, will be affected by the evaluation process. The decision to downsize comes more than a year after PhysicsWallah became a unicorn and secured $100 million in funding from investors such as WestBridge Capital and GSV Ventures. The job cuts were first reported by Entracker, who stated that employees were dismissed without clear reasons during random meetings. However, PhysicsWallah denied that it was a mass firing.
Satish Khengre, PhysicsWallah’s Chief Human Resources Officer (CHRO), explained that the company routinely evaluates performance through mid-term and end-term cycles. For the October cycle, less than 0.8% of the workforce, ranging from 70 to 120 individuals with performance concerns, may be asked to transition to new roles. Khengre emphasized that the company’s main focus remains on fostering a dynamic and high-performing team, and they plan to hire an additional 1,000 employees over the next six months.
During the Covid-19 period, several edtech companies, including unicorns like BYJU’S and Unacademy, had expanded their workforce to meet the surging demand for online classes. PhysicsWallah acknowledged the dedication of its existing employees and recognized their crucial role in shaping the future of education technology.