Days after reports claimed that Ola is planning to trim its workforce by around 200 across various software teams of ANI Technologies, its parent company, it has emerged that the cab-hailing platform has reversed the decision.
Ola will not layoff the 200 engineers it was earlier planning to let go, according to sources in the know, reported Economic Times. Recently, several media reports stated that the cab-hailing platform will show 200 engineers the exit door in the wake of sluggish sales of Ola Electric scooter.
The Bengaluru-based firm is in the middle of a major restructuring exercise. Ola laid off about 2,000 employees earlier this year amid its stock market listing plans. It had been planning IPO since last year but held its plan in view of unfavourable market conditions.
Ola employees were informed about the change in the plan at a townhall meeting helmed by some of the company’s senior tech leaders.
When the news of 200 job cuts surfaced, the Bengaluru-based firm said that it plans to hire around 3,000 to focus on non-software engineering domains. Ola shared it has been increasing its focus on non-software engineering domains “with a clear focus on building engineering and R&D capabilities across – vehicle, cell, battery, manufacturing and automation, autonomous engineering streams and others”.
“Ola is building on common capabilities and synergies across functions as it strengthens its play across 2Ws (two-wheelers), 4Ws (four-wheelers), cell R&D and manufacturing,” the company said in a statement.
In light of these efforts, the company is centralising operations and is undertaking a restructuring exercise to minimise redundancy and build a strong lateral structure that strengthens relevant roles and functions, Ola added.
Deccan Herald newspaper was the first to break the story about the company’s latest decision.
Meanwhile, Ola Electric said it “currently has around 2,000 engineers and aims to increase its engineering talent pool to 5,000 over the next 18 months.” On August 15, the company had announced plans to enter the electric car segment with plans to launch its first model by 2024.