Indian edtech platform Unacademy reduces its workforce by an additional 250 jobs

Unacademy, India’s prominent edtech firm, is implementing significant layoffs, affecting approximately 250 employees. This move follows a series of job reductions since the second half of 2022, totaling around 2,000 job cuts due to changes in market dynamics post-pandemic lockdowns.

The layoffs primarily impact roles in marketing, business, product, and sales. While an Unacademy spokesperson confirmed the layoffs, specific details on the number of individuals affected were not disclosed. The restructuring is deemed necessary to align with Unacademy’s strategic goal of achieving profitability, despite its substantial backing from investors like General Atlantic, SoftBank, and Peak XV.

Additionally, amidst these workforce changes, Unacademy is reportedly engaged in discussions regarding a potential merger with K12 Techno, the owner of Orchid International school chain.

The edtech sector, which experienced rapid growth during the pandemic, has faced challenges with declining enrollments post-school reopenings. This trend has affected industry leaders like Byju’s, whose struggles have recently led to a significant write-down of investment by Prosus, its largest external investor.

Gaurav Munjal, co-founder and CEO of Unacademy, highlighted the importance of an “offline play” alongside online offerings, emphasizing the company’s strategy to diversify and expand its educational services in India.