Ola Electric has started the restructuring process. This decision may result in the job loss of about 500 employees. According to information received by CNBC TV18 from sources, Bhavish Aggarwal-led Ola Electric is starting a new restructuring process, which is likely to affect more than 500 employees in various roles within the group.
The biggest decision of the year-According to sources, this step of the company is being taken to increase profits and improve margins.
That is why the company is going to layoff employees to reduce expenses. No statement has come from the company on this entire matter yet.
1000 employees were laid off 2 years ago– The company had restructured twice in September 2022 ahead of its IPO. In July 2022, a major restructuring plan was announced, in which it laid off about 1,000 employees by shutting down its three businesses – used cars, cloud kitchens and grocery delivery – to focus on the EV business.
While it laid off about 1,000 employees from other businesses, it planned to hire about 800 employees for the EV business.
The decision comes seven months after Ola Electric’s subsidiary Ola Consumer planned to conduct a restructuring exercise that would affect at least 10 per cent of its employees.
Meanwhile, Hemant Bakshi, CEO of ANI Technologies’ ride-hailing arm Ola Cabs, also left the firm
Ola Electric announced its Q2 FY25 results earlier this month. The company reported a growth of 38.5% YoY in its revenue to ₹1,240 crore led by growth in deliveries – which grew 73.6% YoY to 98,619 units from 56,813 units in Q2 FY25.
