In a fourth round of layoffs, the EdTech unicorn Unacademy has cut 12% of its workforce. Softbank is the platform’s backer. It provides test preparation services. According to reports, Unacademy co-founder Gaurav Munjal informed the staff via an internal memo that the most recent round of layoffs was necessary in order to make the company profitable.
A severance payment equivalent to the notice period and an additional month’s pay will be given to the laid-off employees. If they have worked for the company for a minimum of a year, they will additionally get an accelerated vesting of a year.
Relevel, an ed-tech platform run by Unacademy, lay off 20% of its staff in January of this year. Those who persisted at the time were to be moved to other Unacademy Group departments. At the time, the company was concentrating more on testing new products as well as a new app called NextLevel.
The Bengaluru-based Unacademy let go 350 employees in November of last year after realising that, despite significant cost cuts and managing redundancies, it had not been able to run as a lean organisation or help speed up to the desired level.
About 600 employees were asked to leave in April 2022, and another 150 were urged to do the same in June 2022.