InvestorQ : Is it true that Whitehat has laid off its staff in large numbers?
Anamika Sodhani made post

Is it true that Whitehat has laid off its staff in large numbers?

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Angel dcosta answered.
2 months ago
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Whitehat Jr, the company that trains children in IT careers awfully early, has laid off over 300 people and these layoffs could go all the way up to 600. IN addition, scores of persons have been forced to resign due to cross postings or due to contingencies of stay-at-home working. Whitehat Jr is currently owned by Byju’s which had bought the company in the year 2020 for a consideration of $300 million.

This trend is broadly reflective of the general pressure that most edtech stocks are under. These layoffs have impacted employees located in India and abroad. Whitehat posted total loss of Rs1,690 core in FY21. Most of the edtech companies are now realizing that training children from an early age may not be a very lucrative model. Also, the revenues have not been able to justify the costs in any meaningful way.

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