FlipKart denies laying off employees

Earlier, media was abuzz with speculations that FlipKart is planning to sack all of its under-performing employees

FlipKart denies laying off employees

Rejecting media reports of 700-1,000 layoffs, e-commerce giant FlipKart has said such reports were being circulated with malicious intentions and urged the public not to be fooled.

Earlier, media was abuzz with speculations that FlipKart is planning to sack all its under-performing employees.
They would be told to leave or given pink slips from the e-commerce venture, a section of media reported.

"At times, we have employees who do not meet the performance bar. In those situations, we work closely with employees to enable them improve their performance. In due course, if these employees are unable to make the desired progress, they are encouraged to seek opportunities outside the company where their skills can be better utilised," an official spokesperson said.

Ruling out the allegations, the spokesman added in the statement, "As a performance-oriented organisation, we follow a transparent evaluation process."

This week, Flipkart-owned Myntra announced acquiring e-store Jabong from its London-based owners Global Fashion Group (GFG) for $70 million (Rs 471 crore) to consolidate its position in the fashion and lifestyle segment both operate in.

Flipkart acquired Myntra in May 2014 for an estimated $300 million.

"Jabong's acquisition is a continuation of our group's journey to transform commerce in India. We will offer a variety of styles, products and assortment of global and Indian brands," said Flipkart co-founder and Chief Executive Binny Bansal in the statement.

As fashion and lifestyle is a major driver of e-commerce growth in the country, Bansal claimed Myntra's strong performance had reinforced faith in the segment.

Media reports on the lay-off have emerged in the wake of the recent announcement by IT giant Microsoft to sack over 2,000 employees globally.

Reportedly, it took the decision after suffering huge looses in its co-venture with Finnish firm Nokia.