E-commerce company Meesho fired 251 employees

SoftBank-backed e-commerce unicorn Meesho has once again laid off 251 employees, which is 15% of its total workforce. This decision has been taken keeping in mind the improvement in the financial health of the company and the reduction in expenses.
In an e-mail on Friday (May 5), Meesho's co-founder and CEO Vidit Atre cited the economic slowdown and informed the company's employees about the decision.
Confirming this, a Meesho spokesperson said, 'We want to work together with a reduced workforce to achieve the goal of sustainable profitability.' The Bengaluru-based company, which started in 2015, had earlier laid off 251 employees involved in its grocery business last year.
Atre said in the e-mail, 'We had made mistakes in hiring and hired more people. At the same time, we could run our organization structure effectively even with fewer people. The company has grown 10 times from 2020 to 2022. The company's cash reserve is sufficient for 'difficult conditions', but the company needs to be prudent with costs.
The Company will shortly send an e-mail to the terminated workers, informing them of their employment status. According to the e-mail, meeting links will be shared for communication between staff members and their managers. However, these workers can access Gmail and Slack channels until Sunday evening.
Meesho has said, 'We are committed to supporting the workers. A separate package will be given to all affected personnel. This includes a one-time severance payment of 2.5 to 9 months, insurance benefits, job placement support and early settlement of ESOPs to the employees depending on their rank and tenure.