The Indian edtech sector continues to suffer with layoffs as Lightspeed-backed Indian edtech firm Teachmint has fired 70 employees in an attempt to reduce the company's costs. 

This has been the company's second round of layoffs. Prior to this, it sacked 45 staff in December last year. To date, it has sacked more than 110 employees. 

Mihir Gupta, the co-founder and CEO of Lightspeed, informed the employees about the prospective job cuts in a town hall. He said that the edtech firm needed to cut employee bandwidth in an attempt to keep the business sustainable and the decision had nothing to do with the employees' performance. 

"Some roles have been unfortunately impacted as we work on increasing structural efficiencies in our operations. We have proactively communicated to the impacted colleagues and are working on providing them comprehensive support,” a spokesperson, aware of the development, told Moneycontrol. 

According to a report by Moneycontrol, the impacted employees will receive three months of payroll support, six months of health insurance benefits and mental health counsellors for them and their family members. Additionally, some eligible employees will be getting outplacement support and the vesting of ESOPs (employee stock option plans).

Founded in 2020 by Mihir Gupta, Payoj Jain and Divyansh Bardoia, the video-first edtech platform has raised $118 million in funding till date from investors like Lightspeed Venture Partners, Rocketship VC, Vulcan, Better Capital. 

The company has been going through a rough patch since last year. It bagged an operating revenue of Rs 80 lakh in the financial year (FY) 2022. It also registered a loss of Rs 131.7 crore in the same period.