RoboticWares Pvt. Ltd, which runs logistics software as a service (SaaS) platform FarEye, has let go of around 90 employees in a second round of layoffs initiated over the past year.
FarEye employs close to 750 employees, as per the company’s LinkedIn profile, which means that it has laid off about 12% of its workforce. Employees were laid off across verticals, including tech, human resource and sales.
The company had to reduce its headcount to align its resources, said Kushal Nahata, cofounder and chief executive officer, FarEye. “Our focus on product innovation and customer solutions remains strong, and we will continue to expand our reach in new industries and markets around the globe.”
It is offering severance packages to impacted employees in compliance with local laws across geographies.
FarEye, in June last year, laid off around 250 of its employees. At that time too, the company had cited "strategic realignment to focus its efforts and resources” as the reason behind layoffs.
Founded in 2013 by Nahata, Gautam Kumar and Gaurav Srivastava, FarEye offers logistics management software which is deployed in the entire supply chain, from first-mile seller pick-ups to last-mile delivery. It also provides sales force automation and field workforce management tools to its clients.
The company had last raised about $100 million as part of its Series E funding round in May 2021. The round was led by Silicon Valley-based venture capital firm TCV and San Francisco-based growth-oriented investment firm Dragoneer Investment Group.
In the past few months, multiple SaaS startups have let go of thousands of employees to conserve capital in a rather unsettling economic environment. Indian SaaS startups are facing sluggish growth in business, which is leading them to go for cost-cutting to extend their runways.
For instance, last month, customer engagement platform Exotel laid off 80 employees citing poor performance and business restructuring. Employees across departments were impacted by the move.
Also, late last year, Tiger Global-backed Chargebee as well as publicly listed Freshworks Inc sacked employees to reduce costs. While Chargebee laid off around 10% of its workforce or 142 employees to tackle the ongoing macroeconomic challenges as well as reduce the debt, Freshworks fired 90 employees globally, or less than 2% workforce, to create better alignment across the company. Other Indian SaaS startups that have recently trimmed their headcount include Skit.ai and SirionLabs.