The Bengaluru-based, healthtech startup, MFine has laid off 500 employees as the startup struggles to raise funds.
According to media reports, the job cut accounts for about half the workforce. The company was hiring employees until last month and has about 1,000 employees.
It laid-off employees across data science, engineering, and product departments. Employees were told that the company is short on funds to release salaries for the coming months. A few employees working in the talent acquisition team, who were asked to hire over the last few weeks, were also laid off.
An employee said, “We were hiring over the last month or so across departments, and we were hiring freshers, mostly or lesser experienced people.”
“But this exercise is a restructuring exercise where they are hiring at lesser salaries to stay as a going concern as they are short of funds to pay salaries.” The employee added.
Over a couple of months, many contractual and full-time employees have been terminated. MFine joins a developing rundown of high-subsidized tech new businesses in India to lay off workers.
The companies that have laid off employees previously are Cars24, Unacademy, Vedantu, Meesho, Trell, online learning platform Lido Learning and furniture rental startup Furlenco.
Mfine was founded in December 2017 by former Myntra executives Ashutosh Lawania and Prasad Kompalli, who were later joined by Narayanan and Arjun Choudhary. The company last raised $48 million in September 2021.
It offers telemedicine services providing services across primary, secondary and chronic care. The healthtech startup claims to have over 6,000 doctors who have served 3 Mn users.
