As the Edtech industry is struggling to weather the ongoing tech winter, Edtech unicorn upGrad has laid off 120 employees, which is almost 30 per cent of the total workforce, at its subsidiary that was acquired in 2021.
This is the second round of layoffs at the Ronnie Screwvala-run edtech company. According to Financial Express, the job cuts are an attempt to cut costs at the subsidiary, Impartus Innovations, which was bought for Rs 150 crore in a cash and stock deal.
A Tracxn report has estimated that 7,000-8,000 employees have been fired by edtech start-ups in this period, including, BYJU’S, Toppr, WhiteHat Jr, Unacademy, Vedantu, Practically. Several players like Lido Learning, Udayy, Crejo.Fun, SuperLearn, etc., have also wound up operations due to continuing capital crunch and shifting consumer preferences.
UpGrad has been founded by Ronnie Screwvala, Mayank Kumar and Phalgun Kompalli. The Edtech has managed raised over $600 million from Temasek, Bharti Enterprises and Bodhi Tree, among others, and is currently valued at around $2.2 billion.