In a strategic move aimed at optimizing resources, Indian e-commerce giant Flipkart is gearing up to reduce its employee count by 5-7 percent in the early months of 2024, potentially impacting around 1,500 workers.
This decision is part of a restructuring effort facilitated through performance evaluations, with the envisaged job cuts likely to be enforced between March and April, The Economic Times report said.
Walmart-owned Flipkart remains tight-lipped about the development. It has been indicated that the impending staff reduction is accompanied by internal restructuring endeavors, geared toward enhancing operational efficiency and sustaining profitability.
This move is not unprecedented within Flipkart’s operational history, as annual job cuts based on performance reviews have been executed previously. The company’s recent financial records portray a mixed bag, with Flipkart registering a total revenue of Rs 56,013 crore in the 2023 fiscal year, signaling a 9 percent growth from the previous year’s Rs 51,176 crore.
However, the notable surge in revenue was shadowed by a substantial setback, as Flipkart reported a net loss of Rs 4,834 crore in FY23, marking a concerning 42 percent increase from the preceding fiscal year.
