Bhavish Aggarwal, Co-founder and CEO of Ola Cabs, made it clear that the prognosis ahead for the business is “very unclear and uncertain” and the impact of this crisis is “definitely going to be long-drawn for us”. And so, has announced to sack 1,400 staff as the COVID-19 Pandemic hits revenues.
The CEO wrote a full-fledged letter to the employees wherein he showcased the uncertainties that have arisen due to the current lockdown situation and has hit the economy badly. The letter was issued in the interest of the employees to make them familiar with the hardships the company was facing.
In these circumstances, today I write to all of you with the toughest decision I have ever taken – the need to downsize our organisation and let go of 1400 of our valued employees, the letter read.
Also, with this immediate decision, the CEO has been considerate enough to keep in mind the financial challenges the employees might suffer post the announcement, and so has made clear that “Every affected employee will receive a minimum financial payout of 3 months of their fixed salary, irrespective of the notice period. Beyond this, those employees who have spent significantly more time with us will be eligible for higher payouts depending on tenure”, said Bhavish.
Having the remuneration part being cleared, the letter also mentioned the necessary measures that would be taken in the medical, insurance, emotional well-being and career prospects of the employees.
The letter ended on a sad note where the CEO conveyed all his condolence to the people affected saying, ‘I’m filled with a lot of emotion and sadness as I write this email, but also with strong hope and resolve to rebuild our business, and create the future that we envision, together’.