CARS24 Lays Off 600 Employees To Cut Cost’, Calls It ‘Business As Usual’

The company has mostly laid off employees from lower positions. With this layoffs, Cars24 has let go 9,000 staffs which is 6.6% of its total employee count.

Written by: India.com Business Desk Edited by: Analiza Pathak

Updated: May 19, 2022, 2:20 PM IST

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https://www.india.com/business/cars24-lays-off-600-employees-to-cut-cost-poor-performance-calls-it-business-as-usual-5401146/ Copy

CARS24 Laid Off 600 Employees To Cut Cost' last year

New Delhi: Pre-owned e-commerce platform CARS24 has laid off around 600 employees in the past couple of weeks on basis of their poor performance and not owing to any “cost cuts”.  Calling it “business as usual”, the company. which has nearly 9,000-strong workforce, and is in the process of hiring more globally, said its business is actually growing in India, the Middle East, Australia and Southeast Asia. “This is business as usual as these are performance-linked exits that happen every year,” the company said in a statement shared with IANS.

The company has mostly laid off employees from lower positions. With this layoffs, Cars24 has let go 9,000 staffs which is 6.6% of its total employee count. The layoffs come almost five months after it raised $400 Million at a valuation of $3.3 Billion led by Alpha Wave Global. Prior to this round, it had raised $450 Mn from DST Global, Falcon Edge and SoftBank Vision Fund at a $1.8 Bn valuation.

“CARS24 has aggressive plans for 2022. We are witnessing greater acceptance amongst customers across the globe for our platform when purchasing their next car,” Vikram Chopra, Co-founder & CEO, CARS24 had said.

“As we continue to build the best infrastructure for the future with an end-to-end digital customer experience, we are confident that this will delight our customers with our high-touch industry experience,” Chopra added.

The platform was valued at $3.3 billion, about double the valuation from its previous round in September 2021. Leveraging the latest technology advances, CARS24 has set up multiple state-of-the-art ‘Mega Refurbishment Labs,’ thus creating “new industry benchmarks for high-quality used cars”.

CARS24 said it will continue to enhance its superior technology and build a gold standard for quality used cars globally.

The company recently announced the launch of seven ‘Mega Refurbishment Labs’ (MRLs) in India — an industry first, and one MRL in the UAE which is among Dubai’s largest ever commercial leasing deals.

(With inputs from agencies)