Employees are panicking as Snapdeal looks to slash salary, bonus by 60%

It is an atmosphere of chaos at Snapdeal as the e-commerce player is taking several steps to rationalise its operations amid declining market share.

In the latest move, Snapdeal is planning to cut salaries and bonuses by as much as 60%. Apart from firing employees, Snapdeal will also merge some of its categories such as mobiles, electronics, etc.

TOI quoted sources as saying the slash in salaries and bonuses come after they amounted to Rs 673 crore for the financial year 2015-16, compared to Rs 217 crore a year ago.

One of the Snapdeal employees told TOI, “I think we will know by Friday or Monday about the job cuts."

A few people TOI spoke to outside the e-commerce firm's office premises said, "We are aware of the layoffs but don't know the details".

At its peak, the SoftBank-backed e-tailer had an employee strength of 8,000 as of August 2015, which the company aims to cut by more than 60%, sources told TOI.

A Snapdeal spokesperson told TOI, "On our journey towards profitability, we continue to drive efficiency in all aspects of our business. As in the past, and like all efficient companies do, we will continue to assess resource allocation to further our goals of enhancing customer and seller experience while driving high quality growth."