Cash-Strapped BYJU’s Shuts Nearly All Offices in India, Asks Employees to ‘Work From Home’

New Delhi: Embattled edtech giant Byju’s has taken a significant step to address its financial challenges, relinquishing all offices across India except for its Bengaluru headquarters. This move, aimed at cost-cutting amidst a looming liquidity crisis, mandates indefinite remote work for all employees, except those based in around 300 Byju’s Tuition Centres nationwide.

The decision coincides with an ongoing dispute between Byju’s and its investors regarding the legitimacy of funds raised from a recent rights issue offering.

Additionally, the company faced backlash for withholding part of February salaries from roughly 75 percent of its 14,000 Indian employees. However, Byju’s eventually disbursed the payments after a short delay, promising to settle the balance once permitted to access funds from the rights issue.

According to sources familiar with the matter, the closure of offices was part of a restructuring plan spearheaded by Byju’s India CEO, Arjun Mohan. This strategic move, underway for six months, involves shuttering offices as leases expire, aligning with Byju’s efforts to navigate financial challenges.