Budget hotel brand Treebo lays off 70-80 staff
A company spokesperson confirmed the layoffs stating that redundancies were a result of the Bengaluru-headquartered Treebo doubling down on its technology products and processes, as the company looks to rationalise costs.
When contacted by ET, a company spokesperson confirmed the layoffs stating that redundancies were a result of the Bengaluru-headquartered Treebo doubling down on its technology products and processes, as the company looks to rationalise costs.
“We have made significant investments on technology products and process innovations since the early days of our journey, even when we were small in scale. These capabilities have not only helped us grow rapidly but have also made us lean and efficient as a company,” the spokesperson wrote to ET. “This in turn has allowed us to now take a critical look at our payroll and other costs, and rationalise them in line with our future plans, thereby driving better economic health.” The layoffs come after online travel agency MakeMyTrip dropped Treebo, instead choosing to deepen relationship with SoftBank-backed rival and market leader OYO Rooms.
According to two employees that ET spoke to, the layoffs have been across multiple functions, including technology, quality assurance and business development, and across locations. These employees said layoffs have impacted a higher number of employees, but a company spokesperson denied this. The employees declined to be identified as they are yet to receive their settlements. They said the management has offered a severance package of two months salaries. The layoffs are believed to have taken place in the week starting Monday, July 9.
The Treebo spokesperson said the company was committed to helping the employees find alternative opportunities. “We have tried our best to offer them a smooth exit through things like an appropriate severance package, accelerated vesting of ESOPs for colleagues nearing vesting milestones, and assistance in finding the next opportunity,” the spokesperson said.