OYO now plans to layoff 2,000 employees, the company says it may ‘replace some candidates’
OYOis now planning to layoff 2,000 people by January end, according to reports.
- It has been struggling with a growing crisis at home, with rising dissent from hotel owners over contract issues as well as non payment of dues.
- Recently, Yahoo ended its partnership with the hotel chain in Japan.
Yet, OYO continues to maintain that it is one of the “best places to work”.
"OYO continuously tracks performances of individuals and depending on the results and the individual’s interests, we may replace some candidates after giving them the opportunity to go through a performance improvement programme,” said an OYO spokesperson.
Layoffs is not the biggest problem that the unicorn is now facing. A crisis is brewing at home as hotel owners complain that they are not being paid. Some others are unhappy with the contracts they are offered as well.
Recently, a Bengaluru hotelier filed a cheating case against
The startup is also in trouble with the authorities. A commercial agreement between MakeMyTrip and Oyo is being investigated by the Competition Commission of India for the possible dominant position that they could enjoy.
OYO’s problems are as far and wide as its hotel chain. Its latest sweet spot – the US market is also presenting similar troubles. US media outlet Skift reported that several hotel owners complained that OYO’s partner management system didn’t work properly. They also complain of non payment of dues.
The latest salvo came from Japan where Yahoo ended its partnership due to rising complaints from hotel owners. In China, where it boasts of being one of the largest hotel chains too - hotel owners say that they are being paid less than what they were promised.
Yahoo ends JV with OYO Life in Japan within 8 months after complaints from real estate owners
Bizarre! The more losses Oyo makes, the more valuable it gets
- Shiv Sena targets PM Modi over COVID-19 crisis
- There’s an urgent need to evangelise Radio and the role it can play in the revival of the economy: Abraham Thomas, BIG FM
- TCS shares are hot again as investors hope for a quarterly surprise
- COVID-19: UP's Muzaffarnagar, Shamli districts seal borders to prevent entry of kanwariyas
- Rupee slips 6 paise to 74.74 against US dollar in early trade