The layoff saga in the Indian start-up space continues as health tech start-up Innovaccer has laid off 245 employees or about 15 per cent of its staff. The company said that these layoffs are part of its corporate realignment process.
In an internal email to its employees, chief operating officer (CEO) and co-founder Abhinav Shashank cited ‘uncertain macroeconomic conditions’ as the key reason behind the layoffs.
“Innovaccer has always believed in empowering its customers to accelerate their transformations, leading to higher quality care for patients and populations, improved patient experiences, and better financial and operational performance. This will be our central focus as the industry shifts from a predominantly fee-for-service model to value-based, consumer-centric care. Hence, we are taking the much-needed step of doubling down on our core capabilities and streamlining our organizational focus,” Shashank said Inc42 in a statement.
Prior to this, the start-up laid off nearly 8 per cent of its workforce (around 90 employees) in September 2022.
In February 2022, the company raised $150 million at a valuation of $3.2 billion in its Series E round led by the Mubadala Group. The round witnessed the participation of B Capital, Microsoft M12 Fund, OMERS Growth Equity, Dragoneer and Steadview Capital. Additionally, the company is backed by multiple marquee investors like Tiger Global, Whale Rock Capital Management, Avidity Partners, Schonfeld Strategic Advisors.
Last year, more than 18,000 employees lost their jobs in the Indian start-up space. Unicorns like Byju’s, Unacademy and Udaan were seen to cut down employee numbers to keep their business on the profitability track. This year has also not offered any difference till now. More than 20 companies have laid off more than 1,500 staff in this new year.