Cars24 lays off 600 employees in cost optimisation move

Bengaluru: Cars24 joined the likes of Vedantu, Unacademy, Meesho as it's decided to lay off around 600 employees as part of its cost rationalisation measure.

SoftBank-backed used cars retailer has let go off staffers across divisions, mostly at lower positions, including a few at its physical stores, sources in the know said. This development comes at a time when the company is looking at cost cutting measures before hitting the public market in the coming quarters.

As a slowdown in funding looms, many tech-powered startups are resorting to layoffs in order to conserve cash for sustaining in a difficult market environment. More than 4,000 people have lost their jobs so far in the startup ecosystem in 2022.

Experts are of the opinion that new age companies burning high amount of cash for sustaining operations will be the most affected during this downturn.