Rocket Internet-backed Foodpanda has reduced its workforce by 15%. As per the company, the move is aimed towards profitability combined with adjustments to its business model.
As per the company, it has reduced manual intervention and achieved about 98% automation rate in order processing. Thus, it has laid off around 330 people from the company. Foodpanda had workforce of over 2,200 employees.
In an official response to Inc42, Foodpanda stated, “The affected employees will be provided with due remuneration and will be further assisted to get a foothold in the industry by setting up a platform to help them discover a plethora of job options.”
Few other startups in this space that have been in news due to cut down of workforce are TinyOwl which laid off more than a hundred employees; and Zomato laid off 300 employees to shift focus to transaction-based business.
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