COVID-19 has had its impact on almost everything, starting from the economy to the jobs. Irrespective of the industry, there were economic losses and job cuts. These were necessary by the companies in order to survive these tough times.
Recently, the online food delivery platform Swiggy has announced that there will be layoffs in the company. On Monday, it has announced the layoff of 1100 of its employees in the upcoming days across various grades and functions in its headquarters and all of its branches. A total of 8000 employees are currently working with Swiggy and these layoffs account for 13% of the total employees
This is one of the heavily affected companies with the widespread of Coronavirus and this can continue for some time. The company is now thinking to come back stronger by continuing to build on the capabilities which will help them to make most out of the opportunity when the situation relaxes.
The company believes that they were lucky to raise capital just before the corona situation and now has enough to fight through this. The company is also prepared to face the worst-case scenarios in this dire situation.
The company CEO SriHarsha Majety has said that all the affected employees will receive three months of salary irrespective of their notice period and tenure. He also said that for every year the employees have spent with them, they will receive an extra month of ex-gratia in addition to their notice period pay which will be around 3-8 months salary depending on the tenure.
Swiggy also announced its plans to close down the adjacent businesses which will not be highly relevant for the next 18 months. Majety told that such businesses like Cloud kitchens will be shut down temporarily or permanently based on the outlook and profitability.