This represents 3-4% of the company’s employee base, and is higher than the usual 1-2% of the bottom performers that the company lets go every year.
Responding to ET’s queries, Flipkart said, “Flipkart conducts regular performance reviews aligned with clearly defined expectations. As part of this process, a small percentage of employees may transition from the organisation. We are supporting affected employees with transition support.”
“More than usual employees have been put on a performance improvement plan (PIP) this year in Flipkart. Many of them received one star rating in their annual review and asked to leave,” said one person aware of the developments. “It’s not happening in other companies of the group.”
In FY25, Flipkart Internet, the marketplace arm of Flipkart, reported revenues of Rs 20,493 crore, up 14% year-on-year (YoY), while its net losses fell 37% to Rs 1,494 crore.
However, Flipkart Internet’s 14% growth rate in FY25 was slower than the 21% increase in operating revenue it saw in fiscal 2024, which was the second straight year of over 20% growth.
Flipkart operates its India business through multiple entities, with Flipkart Internet running the marketplace. This entity earns revenue primarily through seller commissions, advertising income, and other fees for seller services. A general slowdown in India’s ecommerce industry has
In August 2024, the company launched its quick commerce arm Flipkart Minutes.