Byju’s defers settlements of laid-off employees to Nov 17

The deferment comes at a time when Byju’s is trying to find ways to navigate out of a cash crunch and is tackling a legal battle over lender commitments.

Written by Anees Hussain

September 19, 2023 08:59 IST

A Byju’s spokesperson, however, denied this and said all rental payments have been made on time.

Troubled edtech major Byju’s has deferred the final settlements of laid-off employees to November 17, according to an email sent to employees.

Byju’s had laid off over 1,000 employees across various departments, including mentoring, logistics, training, sales, post-sales, and finance, in June this year, as part of a cost-cutting measure.

At the time, the company had committed to pay the affected employees their salaries for both June and July along with additional incentives, as part of their final settlement, by September 15.

“This is to inform you that the full and final settlement amount will be released latest by November 17. We are sorry for the inconvenience caused,” the edtech major said in a mail to the laid-off employees on September 14.

“We regret and acknowledge the delays in settling dues of former employees. As we work through a difficult business restructuring, we are committed to meeting all our obligations as soon as possible,” a Byju’s spokesperson said.

The deferment comes at a time when Byju’s is trying to find ways to navigate out of a cash crunch and is tackling a legal battle over lender commitments. It recently submitted a proposal to its lenders, where it expressed its willingness to repay the $1.2-billion term loan B within the upcoming six months by selling some of its key assets. Great Learning and Epic have been put up for sale, while its other assets such as Osmos are being reviewed as options for sale.