Amid Layoff Bedlam Dunzo Is The Latest To Dismiss 3 Per Cent Of Its Employees

Top Stories

Company

L&T Partners with PS Technology to Revolutionise Railways

6 mins read. August 2, 2024 at 12:45 PM

Company

Jindal Saw Q1 FY24 PAT Rises 67% to Rs 441 Cr

4 mins read. August 2, 2024 at 12:41 PM

Company

Pfizer Q1 FY25 PAT Zooms 61% to Rs 151 Cr

4 mins read. August 2, 2024 at 12:36 PM

Stock chart

Amid layoff bedlam, Dunzo is the latest to dismiss 3 per cent of its employees

ri-calendar-2-lineJan 17, 2023

By: BlinkX Research Team

FbkFbkTwitterTelegram

The Google-backed delivery service, Dunzo, joined other tech companies in a layoff frenzy that saw the sacking of an estimated 90 staff members from its 3,000-odd personnel. CEO Kabeer Biswas has come forward to explain these layoffs as being part of a restructuring process which aims to bring in more efficiency into the teams. While this news was anticipated, it is important to get to the root cause of this incessant wave of layoffs in the tech sector. 

 

During the pandemic, the world had come to a lengthy standstill, with the paradigm shifting online. This shift saw a upsurge in demand for online products and services like OTTs (Netflix, Prime Video), home deliveries (Dunzo, Zomato), video conference software (Zoom, MS Teams) in the backdrop of global turmoil. Record revenues were collected by such companies, making many top executives falsely believe that this was the new normal. This shibboleth prompted several tech companies to facilitate their hiring process, and build larger teams than required, partly due to hedge against mass staff exodus.

 

Three years post the pandemic, tech companies have realized that they hired too many people, as life has resumed to normalcy. Moreover, if this hiring frenzy was insufficient, the current economic predicament and a likely recession has led to corporations looking to minimize their costs. While small to medium scale businesses are laying off to keep their business afloat, large MNCs are simply looking to maximize profits and keep their investors content.
 

Related News

News Thumbnail
Business

PSP Projects secures lowest bid for Dharoi Dam region project

1 mins read. November 6, 2023 at 09:23 AM

News Thumbnail
Business

Bata strikes deal with Authentic Brands Group for Nine West

1 mins read. November 6, 2023 at 08:43 AM

News Thumbnail
Business

Shakti Pumps secures 7th patent for Waste Water Pump innovation

2 mins read. October 31, 2023 at 07:03 AM

Related Blogs

Stock chartDemat Account

Biggest Winners and Losers in MSCI: Key Movers in Global Indices 2025

0 people read

3 mins read . Aug 20, 2025

Stock chartMutual Fund

What MF Big Boys Bought and Sold – Top Mutual Fund Stock Activity in 2025

0 people read

8 mins read . Aug 18, 2025

Download app

Access BlinkX
everywhere
across device

Join the Future of Trading

with BlinkX

#ItsATraderThing

Open Trading Account
Verify your phone
+91
*By signing up you agree to our terms & conditions