Jabong’s Workforce Moves To Myntra Office As Flipkart’s Fashion Units Merge

After senior level rejigs and a round of layoffs, Flipkart-owned fashion units Myntra and Jabong are getting closer to merging resources. Myntra has now announced plans to combine its workforce with Jabong’s employees.

A media report citing sources said that from Tuesday (May 28), nearly 120 Jabong employees moved to Myntra payroll for all practical purposes even though Jabong will continue to run its ecommerce platform seperately.

The announcement reportedly came in from Amar Nagaram, head of Myntra during a townhall meeting. Notably, Jabong had 400 employees in 2018, but since Walmart’s acquisition of Flipkart, the company has laid off 180 employees and 100 were absorbed in Myntra. These Gurugram-based employees will now work for both platforms and other newer services the fashion retailer would be launching in the future.

With this new addition, Myntra will now have a workforce of around 2,200. A Myntra spokesperson told Inc42, “We are moving all Jabong employees to Myntra to create a unified workforce, which can work across all our existing and new businesses. This will enable greater coordination between teams and provide them with an opportunity to take on key roles and responsibilities at Myntra.”

The company says that by better aligning its resources with its long-term plans, it is looking at putting in a robust structure to effectively serve its sellers and brand partners and ultimately benefit the customers.

Jabong was acquired by Flipkart-owned Myntra in 2016 for $70 Mn. In November 2018, Myntra and Jabong fully integrated their functions including technology, marketing, category, revenue, finance, and creative teams. The company had also said that, “Myntra’s independence as a business will be preserved and Jabong brand will also be retained.”

In January, Myntra CEO Ananth Narayanan had stepped down from his role to pursue external opportunities. In a tweet, Narayanan had said that he will be focusing on the next phase of his entrepreneurial journey.

After a turbulent year after Walmart’s acquisition, founders’ exits, government’s FDI regulations along with layoffs and management rejigs, Myntra and Jabong employees could use a clear management to work off in the increasingly competitive fashion ecommerce space, especially ahead of Reliance’s much-awaited entry.