ShareChat, the homegrown social media company, has laid off 20% of its staff. This comes a month after the company removed its 100 employees and shut down its gaming app Jeet11. The company reportedly snapped access to accounts and removed all the data of impacted employees.
According to a report from The Economic Times, the news was disseminated amidst employees through an internal note from company CEO Ankush Sachdeva. The fresh rounds of job cuts could impact over 400 employees, says the report.
“We are taking a very difficult decision today to part ways with around 20% of our talented FTEs (full-time employees) to ensure the financial health and longevity of our company in the current uncertain macroeconomic environment,” Sachdeva said in the note.
““In hindsight, we overestimated the market growth in the highs of 2021 and underestimated the duration and intensity of the global liquidity squeeze,” he further added.
The company has reportedly discontinued the slack and email access for those fired. The others at work were informed about this through company’s internal Slack communication.
Sachdeva in the note added these jobs cuts had to be done “to ensure the security of sensitive company information as well as the personal data of our customers.”
The company has announced a financial package for the impacted employees. This includes a payout for the notice period along and additional 15 days of monthly gross salary for each year of service as a full-time employee. The impacted employees will continue to receive health insurance benefits till June 30, 2023. The laptops and smartphones provided to the staff by the company during their employment can be retained by the employee for their personal use.
The note adds that the Esops of the affected employees that vest on or before April 30, 2023, will be retained by those staffers.
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