In response to the ongoing downturn in the tech sector, Times Internet, the digital arm of the Times Group, has reportedly carried out a cost-cutting measure resulting in the layoff of more than 100 employees. This move follows the challenging trends observed in the technology industry recently, according to sources familiar with the situation.
Wide Range of Departments Impacted
Multiple departments within Times Internet affected by the layoffs, as stated by insiders. The staff reduction has impacted a variety of roles and functions across the organization.
Times Internet Confirms Workforce Streamlining
A spokesperson from Times Internet has confirmed the layoffs in an interaction with Inc42. The spokesperson mentioned that the organization is implementing an operational streamlining approach which involves a workforce reduction of about 5%. All affected employees will receive comprehensive severance packages, irrespective of their tenure or contractual status with the company.
Times Internet Ongoing Changes and Portfolio
Times Internet, a subsidiary of Bennett, Coleman and Company Limited, possesses a diverse portfolio including prominent media entities like The Times of India, Navbharat Times, The Economic Times, and several other brands. The company has been strategically divesting certain properties recently, such as its dining platform Dineout and short video platform MX TakaTak.
Amid Challenging Funding Environment
This development comes at a time when the tech startup landscape is grappling with funding challenges. Times Internet’s move to streamline operations aligns with broader industry trends, where startups and tech companies are navigating funding uncertainties. Since the onset of the funding winter in 2022, nearly 29,000 employees have been laid off by Indian startups, reflecting the economic pressures faced by the sector. The financial data for Times Internet reveals that its standalone net loss increased substantially in FY22, while revenue experienced significant growth compared to the previous fiscal year. This move by Times Internet coincides with a larger organizational restructuring within the Times Group, involving a potential division of responsibilities between the Jain brothers, Samir and Vineet Jain, the promoters of BCCL, as previously reported.
