With an aim to focus on growth and profitability, ride-hailing platform Ola has decided to restructure and redesign the company, starting with laying off its 4,500-strong workforce by 5-8% which will be nearly 350 employees, company sources said.
The move is seen as part of the plan to turn profitable and go public in the next 18-24 months.
The sources added that the company is also moving some employees to other verticals like Ola Electric, Ola Foods and Ola Financial Services as part of the restructuring.
With a view to become more nimble and have a sharper focus on growth and profitability, we are redesigning the organisation to build a structure that strengthens and leverages our local and global scale and enables faster decision making across all of Ola’s group companies,” said company’s spokesperson.
The company was founded in 2011 by Bhavish Aggarwal and Ankit Bhati and presently offers its services over 250 cities in India, the UK, Australia and New Zealand.
Our organisational redesign aims to rightsize all our operations as well as leverage skills sets and experience of mobility employees in available positions in new business verticals,” the spokesperson added.
In its financial year 2019, Ola increased its revenue by 16% to ₹2,155 crore while its losses went down by nearly 50% to ₹1,158 crore in comparison of FY2018.
Ola has been expanding across the country to now serving millions of users across Birmingham, Liverpool, Bath, Coventry, and Warwick.