Bengaluru, May 20: Ride-sharing company Ola Cabs said on Wednesday it will lay off 1,400 of its employees due to business uncertainty caused by the coronavirus pandemic while the revenue has come down by 95 per cent in the past two months.
"The COVID crisis continues to unfold all around us causing unprecedented economic and social destruction. It has also become evident that the coronavirus will not be eliminated any time soon," wrote co-founder and CEO Bhavish Aggarwal to all Ola employees.
"In these circumstances, today I write to all of you with the toughest decision I have ever taken -- the need to downsize our organisation and let go of 1,400 of our valued employees," he said.
Aggarwal said the fallout of virus has been very tough for the cab aggregating industry in particular. "The company's revenue has come down by 95 per cent over the past two months," he said.
Initially, he said, the company hoped it would be a short-lived crisis and that its impact would be temporary. "But unfortunately, it is not been a short crisis. And the prognosis ahead for our business is very unclear and uncertain. It is going to take a long time for people to go out and about like before."
With more companies preferring to have a large number of employees work from home, air travel limited to essential trips and vacations being put off for better times, the impact of this crisis is definitely going to be long-drawn, said Aggarwal.
"The world is not going to revert to the pre-COVID era anytime soon. Social distancing, anxiety and an abundance of caution will be the operating principles for everyone," he told employees.
Aggarwal said the crisis necessitates the need to conserve cash aggressively so that Ola is able to invest in opportunities in the future, adding the downsizing exercise has been a very tough and sad decision for the management team to make.
"While we restructure our organisation to the new realities of our business, we are also going to recommit ourselves to strengthening our operational excellence and leverage a lot more technology to improve efficiencies and reduce cost across all parts of our business," he said.
Comments
They broken their Pitha's Leg!!!!????
Merciless goons, Terrorists.
A day will come when this horse will do the same to U over & over... it might be wierd but in the court of ALLAH (one who gave this life to this MLA & the horse)... it can take the revenge.
what is the use of putting him in jail. he might be there for few days in jail with royal treatment. and once he come out from the jail i am sure he will get good post in party.
When BJP saffron goons cannot spare a animal, how can they spare Muslims. The act of atrocities are in their DNA.
Down Down Ganesh Joshi.
Poor Horse. Cruel People.. Where is our Madam Menaka Ghandi...Lets see what action she will take on him.
These Goons are worst than animal... How come our people who support them doesnot UNDERSTAND their evil acts.
PLEASE BREAK MLA,S LEG PLEASE.. ,
IF HE WAS IN FRONT OF MY EYES I WOULD HAVE SLAPPED HIM FOR SURE .. NO HUMANITY.. WHAT TYPE OF MLA HE IS.. KICK OUT OF INDIA.. IF U SEE THE LEG OF HORSE ,,, REALY... PUT HIM IN JAIL.
wht the hell! then I think his leg should also be broken with a stick. then he will come to know about the pain
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