Ola Lays Off Nearly 500 Employees Amid Funding Issues - Report

Ola has set its future goals on energizing the Ola Electric platform, and the company is reportedly cutting jobs and has halted the performance appraisal of employees for this year. Ola has reportedly laid off nearly 500 employees on a performance basis across various departments and limited their operations because of ongoing funding issues. Ola had delayed their IPO plans to further expand overseas.

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The company also recently shut down its vehicle business - Ola Cars, which was almost a year old but didn't gain much revenue and business. "Ola has reassessed its priorities and decided to shut down Ola Dash - its quick commerce business. Ola will also be reorienting its Ola Cars business to focus more on strengthening the go-to-market strategy for Ola Electric," the company had said in a statement.

Photo Credit: Twitter/Ola Electric

Ola's most highly promoted Electric two-wheeler business is facing a government probe into battery fires. Leading EV fires have moderated sales to 130-200 units a day, and could affect Ola's target of selling 1 crore scooters a year. Ola's ride-hailing business currently has 1,100 employees, directly competing with Uber. The company has shut down Ola Cafe, food panda, Ola Foods, and Ola Dash.