- Travel company MakeMyTrip said it is laying off 350 employees as its business has taken a significant hit as a result of the COVID-19 pandemic.
Travel company MakeMyTrip said it is laying off 350 employees as its business has taken a significant hit as a result of the COVID-19 pandemic leading to a larger travel ban. The company said it was uncertain when traveling would turn into a way of life, as it was during the pre-COVID era.
MakeMyTrip CEO Deep Kalra had declared the decision in a note. A spokesperson for the organization clarified to CNBC-TV18 that the business lines impacted are international holidays and associated activities.
“As we revisited some of our strategic imperatives in order to be able to maintain our business in the long term, it is clear that the pandemic has changed the nature and sustainability of some of our business lines in its present form. Keeping this in mind, we had to take this sad yet unavoidable decision to right our workforce,” read the message.
“We are deeply appreciative of all the work they have done over the years to make this company what it is today. The workforce rationalization we have had to undertake is mapped to our future business plan and is not in any way a reflection of the work that people in these teams are doing.
“We understand that these developments around us, especially when they hit closer home, make us all anxious. We know it’s hard to retain a sense of optimism in these testing times. But we are also sure that if we stay resilient and extend ourselves beyond our known capabilities, the organization that you have built and nurtured with passion and hard work will continue to stand tall.”
We wish them all the best for what follows from here and we would like to thank them very much for their rich contribution to Go-MMT, “he added.
The organization provides mediclaim coverage for individuals and their families until the end of the year to help laid-off workers, leave encashment, gratuity, maintain the right to exercise part of RSUs as necessary, retention of organization laptops, and outplacement assistance apart from salary payments as per their notice periods.
MMT had also announced its foray into food delivery, as the travel and tourism company had come to a complete stop. The business in collaboration with luxury and budget hotel chains and independent properties across India’s cities rolled out an online gourmet delivery service.
Group Chairman Deep Kalra and CEO Rajesh Magow had announced earlier that they will not receive their wages from April 2020. Cancelations had begun to pour in at MMT as coronavirus news began in China. The company has not charged any fees for handling requests for cancelation or rescheduling of domestic and international flights until April 30.
We hope that this pandemic ends soon so that travel industry resumes and the suffering of people and the companies end. Apart from MMT, Zomato, Swiggy, Airbnb and many more startups had downsized their employees due to suffering in the business.