In a much-needed relief for employees, financially constrained edtech major Byju’s has credited salaries for the month of May on the first working day of June, marking the first instance of timely payments since February this year.
The move comes just days after founder Byju Raveendran had assured employees during a townhall with senior management last week that the company would clear outstanding salary dues for February and March by June 15-30, with a worst-case scenario of July 8. He had also committed that there would not be any disruption in monthly salary credits for the next six months.
“We have been verbally informed that the salary for the month of May will be credited by June 8th,” an employee from the Byju’s technology team told FE on the condition of anonymity, earlier.
A Byju’s spokesperson confirmed the development. “We are clearing May salaries on time for all employees as committed earlier. Employees should receive their dues by the end of Monday,” the spokesperson said.
Byju’s had struggled to pay employees their full salaries over the last few months amid a deepening financial crisis.
Byju’s CTO Jiny Thattil had last week conveyed details of the townhall commitments in a message to technology staff, stating that clearing dues was contingent on “anticipated cash flows and allocated funds for salaries, rather than cash available at hand.”
“We will be clearing employee salaries by Monday for all employees,” a Byju’s spokesperson said in a statement.