<ul><li><keyword id="54613" type="COMPANY" weightage="20" keywordseo="makemytrip">MakeMyTrip</keyword> has laid off 350 employees as the coronavirus pandemic has ravaged the travel and tourism industry. </li><li>Group chairman Deep Kalra and CEO Rajesh Magow said in an email to employees on Friday that the pandemic has changed the context and viability of some of their business lines. </li><li>The top management had earlier said that they will be foregoing their full year salary. </li></ul>India’s largest travel aggregator MakeMyTrip has laid off <a href="https://www.cnbctv18.com/travel/covid-19-impact-makemytrip-lays-off-350-employees-as-travel-industry-hit-6042061.htm">350 employees</a> as the coronavirus pandemic has ravaged the travel and tourism industry. “It’s become agonisingly clear that there are certain lines of business (LoBs) that are far deeply affected and will take much longer than the others to recover. As we revisited some of our strategic imperatives to be able to sustain our business in the long term, it is evident that the pandemic has changed the context and viability of some of our business lines in its current form. Keeping this in mind we have had to take this sad but inevitable decision of rightsizing our workforce in these businesses,” founder Deep Kalra and CEO Rajesh Magow said in an email to employees on Friday. The NASDAQ listed company has also seen its share prices fall by 32.9% since the beginning of the year. With the uncertainty all around, the travel industry had been estimated to be hit the worst. A report by the <a href="https://www.weforum.org/agenda/2020/03/world-travel-coronavirus-covid19-jobs-pandemic-tourism-aviation/">World Economic Forum </a>said that the World Travel and Tourism Council has warned the coronavirus pandemic could result in 50 million jobs being cut worldwide in the travel and tourism industry. MMT group Chairman Deep Kalra and CEO Rajesh Magow had earlier said that they will be foregoing their salary from April 2020. “We have tried to do our best to offer support including Mediclaim coverage for individuals and their families till the end of the year, leave encashment, gratuity, retaining the right to exercise part of RSUs (restricted stock units) as applicable, retention of company laptops and outplacement support apart from salary payments as per their notice periods,” said the top management in the email. As the travel and tourism business had come to a complete stop, MMT had also announced its foray into food delivery. The company rolled out an online gourmet delivery service in partnership with luxury and premium hotel chains and independent properties across cities in India. SEE ALSO: <a href="https://www.businessinsider.in/business/startups/news/bharatpe-laid-off-several-employees-after-announcing-salary-hikes-in-april/articleshow/76128348.cms">BharatPe laid off several employees after announcing salary hikes in April</a> <a href="http://businessinsider.in/business/corporates/news/infosys-reportedly-plans-to-reduce-the-number-of-managers-the-ceo-and-coo-got-over-25-salary-raise-in-fy20/articleshow/76127600.cms">Infosys reportedly plans to reduce the number of managers— the CEO and COO got over 25% salary raise in FY20</a> <a href="https://www.businessinsider.in/business/corporates/news/hindustan-unilever-limited-ceo-sanjiv-mehta-says-the-product-inventory-range-will-be-smaller-and-simpler-hereon/articleshow/76128468.cms">HUL CEO says the product inventory range will be smaller and simpler hereon⁠— analysts believe others may have the same plan</a>

MakeMyTrip fires 350 employees as company looks for ways to sustain during the Covid19 pandemic

<ul><li><keyword id="2808667" type="PERSON" weightage="20" keywordseo="OYO">OYO</keyword> founder <keyword id="1670338" type="PERSON" weightage="20" keywordseo="Ritesh-Agarwal">Ritesh Agarwal</keyword> had estimated a 15-20% drop in revenues due to Covid-19. However, the company’s revenues dropped by over 50%-60% globally. </li><li>However, it has promised its India employees that there would be no layoffs here. </li><li>In January 2020, as a part of its reorganization strategy to cut costs, OYO laid off a third of its employees in the US. At the same time, it had let go off over 800 employees in India.</li></ul>Indian hospitality chain OYO has announced that it won’t lay off employees in India in spite of the debilitating impact of Covid-19 on its business. However, it started sending its employees and US and other countries on ‘temporary leave’. “Keeping its promise to the government of India, OYO is committed to zero actions that impact employment status and salaries of ten thousand plus OYOpreneurs on payrolls and tens of thousands of OYO managed assets staff, during this unprecedented period of a 21-day countrywide lockdown,” said Ritesh Agarwal, founder of OYO. The company has just finished a round of layoffs barely three months back. In January 2020, as a part of its reorganization strategy to cut costs, OYO laid off a third of its US staff along with 800 employees in India. In a video message to its employees, Agarwal said that he cannot imagine any other industry being worse impacted than travel, tourism and hospitality due to <keyword id="1754604" type="PERSON" weightage="20" keywordseo="coronavirus">coronavirus</keyword>. Earlier Agarwal had estimated a 15-20% drop in revenues and occupancy over Covid-19. However, the company’s revenues have dropped by over 50%-60% globally. <div type="Youtube" id="-1V3HE_2XOk" title="Ritesh Agarwal | Address to OYOpreneurs" thumbUrl="https://i.ytimg.com/vi/-1V3HE_2XOk/mqdefault.jpg"></div> The coronavirus has hit the tourism industry as travel has come to a complete halt due to lockdowns across the world. Hence, OYO said that it needs to ‘tighten its belts’. “Basis careful consideration of all possible options, this decision of instituting furlough or temporary leaves for a certain number of OYOpreneurs is the best way to ensure jobs are safe while keeping costs in check. This option will enable OYO to continue supporting healthcare coverage and other associated benefits, which is important during such tough times,” said the company’s statement. However, it has said once the crisis is over, it would take back its employees on a full-time basis. As the situation recovers in China, OYO has seen its demand pick up in growth. The company said that it has seen green shoots of recovery in markets like China, Denmark and Japan. Yesterday, its counterpart Treebo hotels gave the option of voluntary resignation to its employees. The founders of MakeMyTrip, a pioneer in the travel industry, took a salary cut for the entire year. Agarwal had earlier announced that he will not take any salary for the rest of the year, while the leadership team at OYO is voluntarily taking a 25% pay cut. See Also: <a href="https://www.businessinsider.in/business/startups/news/oyo-reportedly-invokes-act-of-god-clause-to-suspend-payments-to-hotel-owners-says-report/articleshow/74959653.cms">OYO reportedly invokes ‘Act of God’ clause to suspend payments to hotel owners says report</a>

OYO sends US staff on ‘temporary leave’ but Indian jobs are safe

<ul><li><keyword id="2808667" type="PERSON" weightage="20" keywordseo="OYO">OYO</keyword> is now planning to layoff 2,000 people by January end, according to reports. </li><li>It has been struggling with a growing crisis at home, with rising dissent from hotel owners over contract issues as well as non payment of dues.</li><li>Recently, Yahoo ended its partnership with the hotel chain in Japan.</li></ul>The troubles of OYO are far from over. According to an <a href="https://economictimes.indiatimes.com/small-biz/startups/newsbuzz/oyo-likely-to-lay-off-2000-people-by-february/articleshow/72878766.cms">ET report</a>, it is planning to layoff 2,000 people by the end of January. OYO is also known to be cutting down on manpower costs and by automating processes. Yet, OYO continues to maintain that it is one of the “best places to work”. "OYO continuously tracks performances of individuals and depending on the results and the individual’s interests, we may replace some candidates after giving them the opportunity to go through a performance improvement programme,” said an OYO spokesperson. Layoffs is not the biggest problem that the unicorn is now facing. A crisis is brewing at home as hotel owners complain that they are not being paid. Some others are unhappy with the contracts they are offered as well. Recently, a Bengaluru <a href="https://economictimes.indiatimes.com/small-biz/startups/newsbuzz/cheating-case-against-oyo-founder-ritesh-agarwal-6-others/articleshow/71905131.cms">hotelier</a> filed a cheating case against <keyword id="1670338" type="PERSON" weightage="20" keywordseo="Ritesh-Agarwal">Ritesh Agarwal</keyword>, founder of OYO, and six others over dues. In the complaint, the hotelier claimed that OYO was supposed to pay him ₹7 lakh a month for room bookings, but failed to do so since May 2019. The startup is also in trouble with the authorities. A commercial agreement between <a href="https://www.businessinsider.in/business/startups/news/why-makemytrip-and-oyo-are-in-trouble-with-the-cci/articleshow/71818051.cms">MakeMyTrip and Oyo</a> is being investigated by the Competition Commission of India for the possible dominant position that they could enjoy. OYO’s problems are as far and wide as its hotel chain. Its latest sweet spot – the US market is also presenting similar troubles. US media outlet <a href="https://skift.com/2019/10/24/budget-chain-oyo-can-be-a-nightmare-for-u-s-hotel-operators-despite-its-hype/">Skift</a> reported that several hotel owners complained that OYO’s partner management system didn’t work properly. They also complain of non payment of dues. The latest salvo came from Japan where <a href="https://www.businessinsider.in/business/startups/news/oyo-and-yahoo-partnership-falls-through-in-japan/articleshow/72855354.cms">Yahoo</a> ended its partnership due to rising complaints from hotel owners. In <a href="https://www.ft.com/content/504c55b8-1022-11ea-a7e6-62bf4f9e548a">China</a>, where it boasts of being one of the largest hotel chains too - hotel owners say that they are being paid less than what they were promised. See Also: <a href="https://www.businessinsider.in/business/startups/news/oyo-and-yahoo-partnership-falls-through-in-japan/articleshow/72855354.cms">Yahoo ends JV with OYO Life in Japan within 8 months after complaints from real estate owners</a> <a href="https://www.businessinsider.in/business/startups/news/as-oyo-valuation-and-losses-increase-good-time-for-warren-buffett-quotes/articleshow/72258653.cms">Bizarre! The more losses Oyo makes, the more valuable it gets</a>

OYO now plans to layoff 2,000 employees, the company says it may ‘replace some candidates’

<img class="gwt-Image" src="/photo/57686488.cms" /> Even though the trend of <keyword id="6362513" type="ORGANIZATION" weightage="20" keywordseo="Startups">startups</keyword> is on the downhill, they are still the best place to start your career, say experts. In fact, after having faced <a href="http://www.businessinsider.in/bi-investigation-is-capital-dumping-killing-indian-startups/articleshow/57126105.cms">cash crunch</a> because of <keyword id="6359051" type="COMPANY" weightage="20" keywordseo="investors">investors</keyword> tightening their moneybags, startups are now all the way more careful in choosing their staff, making their hiring process suitable only for the best. 
 
"Potential recruits are asking us the same questions as investors. The people who are applying now are much smarter," Mohit Gundecha, founder of talent assessment startup Jombay, told ET. 
 
Even as startups have been on a <a href="http://www.businessinsider.in/snapdeal-has-started-down-sizing-600-employees-have-already-been-fired/articleshow/57343065.cms">firing spree</a> in the recent past, there is still hope left for real talent. As per <keyword id="6355127" type="ORGANIZATION" weightage="20" keywordseo="employment">employment</keyword> experts and startup veterans, the dark days of pink slips are just a phase, which would eventually help startups retain the best of their manpower. 
 
Also read: <a href="http://www.businessinsider.in/bi-investigation-business-models-akin-to-amazon-and-ubers-arent-working-for-indian-startups/articleshow/57287190.cms">BI Investigation: Business models akin to Amazon and Uber’s aren’t working for Indian startups</a> 
 
As per PwC’s Abhishek Goenka, the startup story is still going strong PwC is keeping an eye on the startups that are promising enough to enter the unicorn club in the future. 
 
"We are betting big on startups and it makes sense for talent to join startups - it still looks good on your CV," Goenka said. 
 
Also read: <a href="http://www.businessinsider.in/budget-2017-china-is-still-far-ahead-of-india-when-it-comes-to-startups/articleshow/56628904.cms">China is still far ahead of India when it comes to Startups</a> 
 
Deep Kalra, CEO of MakeMyTrip group, gives his two cents: "Of course, jobseekers, while evaluating startups as potential workplaces, must evaluate the company, its values, financial situation etc., but this temporary phase must not deter them from deciding to work in a startup," he said. 
 
Also read: <a href="http://www.businessinsider.in/A-study-reveals-India-is-worlds-third-biggest-tech-startup-hub/articleshow/53794744.cms">A Study reveals India is World's Third Biggest Tech Startup Hub</a> 
 
Another good thing that his sad phase has brought to the startups is that now, only those who are serious to make a career in startups are applying for jobs now, unlike earlier when it had almost became a trend to join startups. 
 While investors have in the past refused <keyword id="6357455" type="EVENT" weightage="20" keywordseo="Funding">funding</keyword>, they still have not lost all hopes when it comes to startups. 
 
Also read: <a href="http://www.businessinsider.in/retail/e-commerce/as-valuations-decline-indianstart-ups-now-planning-to-get-listed-on-american-exchange/articleshow/56967926.cms">As valuations decline, Indian start ups now planning to get listed on American exchange</a> 
 
Talking of the recent trend, while it’s true that there have been thousands of layoffs in the startup sector, it’s nothing in comparison to the <a href="http://www.businessinsider.in/Jobs-in-India-hits-3-5yr-high-Telecom-and-Financial-sector-hiring-to-touch-new-highs/articleshow/55241165.cms">millions of jobs</a> that startups have created. 
 
(Image Source: KnowStartup)

You Searched For "makemytrip layoffs" and got 4 results

MakeMyTrip fires 350 employees as company looks for ways to sustain during the Covid19 pandemic

Sanchita Dash

OYO sends US staff on ‘temporary leave’ but Indian jobs are safe

Sanchita Dash

OYO now plans to layoff 2,000 employees, the company says it may ‘replace some candidates’

Sanchita Dash

Yes startups have slowed down, but you should still start your career there

BI India Bureau