Byju’s plans cash sops for sales staff
MUMBAI : After extended legal battles and massive layoffs, Byju’s, the largest edtech startup in India, is in initial stages of planning a rewards programme for 7,000-10,000 members of its sales team. One of the options on the table is a short-term cash incentive, said a senior company executive. But its challenging financial situation has also prompted the firm to assess if its balance sheet can take the hit of this programme, he added.
“The company is working on a rewards structure for its sales team. It maybe in the form of cash incentive. Rationalization is over and employees need to be motivated." This reward programme is not about a hike since it may not be in a position to shoulder the cost of salary hikes right now, he said.
The sales workforce of Byju’s, accounting for about half of its total employee count, was the worst hit during its several rounds of layoffs in the past one year, affecting nearly 13,000 employees, including the 4,000 who were sacked recently. “Nothing is decided yet and cash incentive is still in the drawing board stage," said a second executive. The edtech major didn’t respond to Mint’s queries.
The employee count for Think & Learn Pvt. Ltd, the parent company which had 19,000-plus employees as of 31 August, excluding its subsidiaries, but including contract staff, may reduce to 15,000 now, after the last round of layoffs, he added. Byju’s, led by chief executive Arjun Mohan since September, has initiated a cost rationalization plan aimed at bringing the company closer to profitability and reducing expenditure.
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