Bengaluru-based startup has laid off 75% employees?....

About 75 percent of employees (800 persons) of Bengaluru-based health technology business MFine have been fired. According to the sources, about 600 employees have been affected by this. The health tech firm was founded in 2017 by Ashutosh Lawania and prasad Kompalli, the former co-founders of Myntra. Lawania and Kompalli were inducted as members of the founding group by Ajit Narayanan and arjun Choudhary.

According to the reports, in a google Meet, managers of several departments informed their employees that their services were no longer needed. In most of the cases, layoffs were attributed to a paucity of funds. Multiple sources told that MFine had laid off around 800 employees, despite 516 employees listed on LinkedIn.

Employees of many departments were surprised to know that layoffs are happening in the company. An employee told Inc42 about this, “A few days ago I was asked to take up a project. I was told that I would be promoted based on this project but by the end of last month, several LinkedIn postings revealed that the company was recruiting new employees.

The employee admitted that the company was left with no money and a settlement had gone out of hand due to which the startup decided to lay off its employees.

According to Inc42, MFine will now pay the salary for 20 days and the compensation for the rest of the notice period will be reimbursed in the next 60 days. Many employees are confused about their salary as they have not received any formal information about their salary.

For people in need of primary, secondary, or long-term care, Mfine provides telemedicine services. According to a press statement from the firm in march this year, there have been 300,000 transactions every month.

According to an estimate by Inc42, more than 5,600 employees at indian startups have been laid off as a result of cost-cutting or financial sanctions. However, the impact of the global slowdown has already started affecting the startup environment.