Several Days After Acquiring Team-BHP, Cars24 Fires More than 200 Employees

More than 200 employees were let go by used automobile marketplace Cars24 as part of its cost-cutting initiatives in the technology and product verticals. The layoffs coincide with the recent completion of a new $131 million investment round by Spinny, a competitor of Cars24.

A well-known media site broke the story of Cars24's layoffs first, and since then, a lot more information about the company's decision to fire more than 200 workers has surfaced.

In a blog post, Cars24 founder and CEO Vikram Chopra stated that the company had to make the tough choice to let go of almost 200 of its coworkers in a variety of roles over the course of the last few weeks. How hard someone works is not the point of this. This relates to the firm's wagers and the instances in which it made mistakes.

Various Perks Offered to Exiting Employees and Reasons for Layoff

Employees will receive severance support, a résumé, LinkedIn assistance, mentorship, resources for emotional wellness, and information about new employment within the network, according to Chopra.

"The organisation has realised that some projects did not deliver what it expected," he continued. A few positions were introduced too soon. When tested, a few theories just didn't hold up. Additionally, there were instances in which Cars24 was unable to provide the kind of development or education that people genuinely needed.

It is simple to place the blame on outside forces or the market. However, the brand is accountable. Cars24 purchased Team-BHP, India's biggest automotive platform, in the days preceding the layoffs. It was a "small but meaningful step towards a more trustworthy auto ecosystem in India", according to Chopra.

Layoff has Become a Common Scenario in 2025

With big companies like Google, Microsoft, and others continuing to reduce their workforces, layoffs in the tech sector are not expected to halt in 2025.

Companies are still cutting employees in an effort to simplify operations, save money, and emphasise automation and artificial intelligence, even though these figures are much lower than the major layoffs that occurred between 2022 and 2023.

Layoffs.fyi, a website that tracks layoffs in the industry, reports that 93 organisations have laid off nearly 23,500 tech workers so far this year, and the number is still growing. Google and Microsoft are apparently contemplating a new round of layoffs, according to the most recent job reduction reports.

According to reports, AI-led restructuring and performance-based terminations are part of the corporations' goals to increase the effectiveness of their personnel.

Vikram Chopra's Linguistic Employment Dispute

Last year, Chopra made headlines when he invited Bengaluru-based employees to Delhi, sparking a discussion about linguistic identity and workplace inclusion.

Chopra's post on X read: After living in Bengaluru for years, are you still unable to speak Kannada? It's all right. Come to Delhi, or "Aa jao Dilli".

The Cars24 CEO went on, "If you would like to return, please write to me at vikram@cars24.com with the subject 'Delhi meri jaan.'