Unacademy has announced that its employees will not receive appraisals this year due to the company’s failure to meet growth targets. The decision was conveyed during a recent virtual town hall meeting.
This announcement follows recent layoffs of 250 employees as part of efforts to streamline operations. The decision was a part of an attempt to improve efficiency and streamline processes. Prior to this, the company let go about 12 percent of its workforce in March 2023. A little over a year later, in May of 2024, about 145 people were let go from PrepLadder, which is a NEET PG preparation platform and part of the Unacademy Group.
During the meeting, it was revealed that despite some improvements in 2024 compared to the previous year, challenging market conditions and declining revenue from offline centers impacted overall performance.
The leadership acknowledged that they had initially intended to conduct appraisals but ultimately decided against it after reassessing the financial situation. It was also recognized that some employees have not received appraisals for two years, but emphasis needs to be placed on the company’s continued stability and survival amidst industry challenges.
The decision and the manner in which it was communicated have sparked criticism on social media, with users highlighting perceived discrepancies between executive lifestyles and the lack of salary increases for employees. Some comments pointed out the unrealistic growth goals set by the company and expressed frustration over the lack of financial recognition for the workforce.
