Flipkart asks 300 employees to exit after performance reviews

Walmart-owned e-commerce firm Flipkart has asked 300 employees to leave the company following annual performance reviews, according to sources.

The exits represent about 1.5% of employees in the lowest performance band who usually leave during the annual review process. 

"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, Flipkart told Business Today. 

The company also said, "We are supporting affected employees with transition support."

Flipkart has carried out similar exercises in recent years as it sharpens its focus on operational discipline.

In early 2024, the company asked around 1,000 employees to exit as part of its annual review process.

The latest round of exits comes as large internet companies tighten cost structures after the pandemic-era funding boom faded, with startups and tech firms placing greater emphasis on profitability and efficiency.

The development also comes as Flipkart, which is majority owned by Walmart, continues preparations for a potential public listing in India.

Earlier reports said the company had begun preliminary discussions with investment banks, including Goldman Sachs, Morgan Stanley, JPMorgan Chase, and Kotak Mahindra Capital, to explore the feasibility of a proposed initial public offering.