Byju’s : After months of financial turmoil, edtech giant Byju has rolled out a new salary policy aimed at alleviating the struggles faced by its employees, particularly the sales staff. Byju Ravindran, the company’s founder, has taken decisive action by securing a loan of Rs 30 crore to ensure timely salary disbursal.
Employees Can Now Earn Salary Every Week, Check Who’s Eligible
The new policy, implemented on April 24th, introduces a revolutionary approach to compensating the sales department. Instead of traditional monthly paychecks, sales personnel will now receive weekly payments directly tied to their individual revenue generation. This dynamic model promises a more immediate and performance-driven compensation structure for approximately 4,000 sales employees out of Byju’s 12,000-strong workforce.
Byju Implements New Salary Policy Amidst Financial Crisis
However, Byju’s financial woes extend beyond delayed salaries. A recent attempt to raise funds through a rights issue has been thwarted by an ongoing legal dispute with investors. Consequently, the capital intended to bolster the company’s liquidity remains inaccessible, exacerbating its cash crunch.
Sources reveal that Byju typically requires Rs 40 to 50 crore monthly to meet its salary obligations. Despite these challenges, the implementation of the new salary policy signals Byju’s commitment to navigating the crisis while prioritizing its employees’ financial well-being.
While this initiative brings a glimmer of hope for Byju’s workforce, the company faces a critical juncture as it endeavors to overcome its financial hurdles and regain stability in the highly competitive edtech landscape.
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