Indian-based online delivery platform Dunzo is reportedly working on additional job cuts as part of its cost-cutting efforts, according to a report by the Economic Times Retail (ET Retail), which cited people familiar with the development.
The company is facing cash-flow issues and has deferred salary payments for up to 50% of its employees for the month of June.
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Sources close to the matter told the Hindu Business Line that the deferred payment affected employees with a salary of Rs75,000 ($908.02) and above.
The publication quoted the sources as saying: “Whoever gets paid 75k+ and above has received nearly 50% of the salary for this month and the rest will be paid before 25 of this month.”
Dunzo, which is backed by technology giant Google and Reliance Retail, has already restructured or reorganised its workforce twice this year.
It laid off 3% of its workforce in January 2023 and 30% in April.
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By GlobalDataAs part of its restructuring efforts, the company shut down 20-30% of its dark stores in Delhi-NCR and Hyderabad, Telangana, in December 2022.
Dunzo raised $75m in a financing round through convertible notes in April this year. The Hindu Business line also reported that the company received $240m in equity funding led by Reliance Retail in January 2022.
Reliance Retail holds a 25.8% stake in the company while Google has about 20%.
