Physics Wallah, an edtech unicorn known for its online and offline courses, has recently laid off between 70 and 120 employees, making the first instance of job cuts at the edtech unicorn.
Satish Khengre, the Chief Human Resources Officer, explained that the affected employees, constituting less than 0.8% of the workforce, were part of a performance-based transition after the latest review cycle ended in October.
“At PW, we regularly assess performance through mid-term and end-term cycles. For the cycle ending in October, less than 0.8 percent of our workforce, ranging from 70 to 120 individuals with performance concerns—may be asked to transition…,”said Satish Khengre, CHRO, PW in a statement.
Despite the layoffs, Physics Wallah maintains a stance of growth and profitability. With a significant revenue increase from Rs 24.6 crore in FY21 to Rs 233 crore in FY22 and a profit surge to Rs 98.23 crore, the startup has positioned itself as a profitable entity in the competitive edtech space.
It also reported an anticipated revenue of Rs 780 crore in FY23, indicating a continued upward trajectory.
Physics Wallah joins other Indian edtech giants like Byju’s, Unacademy, and Vedantu, which have collectively let go of over 10,000 employees in the past two years due to a "funding winter" driving a push for profitability amid cautious investment.
In light of the layoffs, Physics Wallah has announced plans to hire an additional 1,000 employees in the next six months, demonstrating a commitment to expanding its team.
Earlier, the company intended to hire 2,500 new employees for various roles, focusing on creating a dynamic, high-performing workforce.