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Layoff season continues as logistics mgmt startup FarEye lays off 250 people

Jun 13, 2022, 09:07 IST
IANS
Representative imagePixabay
End-to-end global delivery management platform FarEye has laid off nearly 250 employees amid the funding winter that has engulfed the startup ecosystem.
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The company has asked some of its workforce to leave because of "strategic realignment" to focus on areas that drive maximum value.

In a statement to IANS, Kushal Nahata, CEO and Co-founder, FarEye, said the platform "had to make some hard decisions to reduce its team across operations and services".

"We are strengthening our core competencies, deepening our focus on product differentiation, and automation, and optimizing the effort required to manage operations," Nahata added.

FarEye, a global SaaS platform provider transforming last-mile logistics, was established in 2013 by Nahata, Gautam Kumar and Gaurav Srivastava.

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In May last year, it raised $100 million in its series-E funding round led by TCV and Dragoneer Investment Group.

Existing investors -- Eight Roads Ventures, Fundamentum and Honeywell -- also participated in the round.

"The funding is very timely for the delivery and logistics sector as we have seen consumers spending $861 billion online with US retailers in 2020, up 44 per cent from $598 billion in 2019," Nahata had said.

Several startups and unicorns have laid off sections of their workforce as they grapple with global macro-economic factors.

As VC money disappears amid economic slowdown, more than 10,000 employees have lost jobs at the Indian startups led by edtech platforms like Unacademy, BYJU's, Vedanta and others.

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Several large investment firms like Sequoia Capital, Lightspeed Venture Partners, Craft Ventures, and Y Combinator etc have sent memos and footnotes to their portfolio companies and startups on tightening their belts.

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