As Bhavish Agarwal focuses his energies towards Ola Electric, ride-hailing platform Ola is planning to lay off 500 employees across various departments as it aims to cut costs and streamline operations amid ongoing funding. To do.
According to reliable sources, SoftBank-backed Ola has asked senior executives to find employees in their teams based on performance who can be asked to leave.
The company is reportedly looking at “lean and consolidated teams” to keep its “strong profitability intact”.
Ola, which has delayed its IPO plans, has reportedly bought its global investment plans to further expand overseas.
The company’s core ride-hailing business currently has about 1,100 employees and competes directly with Uber.
Last month, Ola spun off its old vehicle business Ola Cars as well as Ola Dash, its instant-commerce business.
The company discontinued Ola Cars within a year of its launch, as it focuses on its electric two-wheeler and electric car vertical.
Ola has so far discontinued Ola Cafe, Food Panda, Ola Foods and now Ola Dash.
“Ola has re-evaluated its priorities and decided to close Ola Dash – its Accelerated Commerce business. Ola will also revamp its Ola Cars business to focus more on strengthening the market-going strategy for Ola Electric.
It added that the infrastructure, technology and capabilities of Ola Cars will be “remodeled to enhance Ola Electric’s sales and service network”.
Ola now aims to invest more in its electric car, cell manufacturing and financial services business.
Ola Electric, amid several high-profile exits, is facing an investigation by the government into faulty batteries in its electric two-wheelers by Okinawa Autotech, Pure EV, Jitendra Electric Vehicles and Boom Motors among other EV players.
Concerned over the frequent incidents of EV fires, the Center has now sent show cause notices to EV manufacturers, warning them as to why punitive action should not be taken against them for transporting defective electric two-wheelers to the public.
EV manufacturers have been given time till July end to respond to the notice in detail.
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