Ola Electric Likely To Lay Off 1000 People To Reduce Losses

It seems Ola Electric’s woes keep piling on, with the electric two-wheeler maker looking to lay off nearly a thousand people to cut losses. This is a shocker as the company had relieved another 500 employees around 5 months ago. It all stems from the company facing a big time loss, with its stock that went public in August 2024, now at an all-time low, 60 percent less than its peak.

Ola was looking to make amends with its customers with the improvement in service centres and experience as well as the third-generation of S1 e-scooters that aimed to offer better features and a more wholesome riding feel. Sadly, the company is reporting a 50 percent surge in losses in December and has also slipped down to the fourth spot in electric two-wheeler sales in the month of February 2025.

Once a dominant player, Ola desperately needs to revise its strategy. Perhaps, further simplification of its product line-up, pushing back the deliveries of its new Roadster e-motorcycle and delivering to the core scooter buyer with a more well-rounded product should be the way to go forward. However, if the current brazen approach continues, it will only be to its detriment. 

Source: Bloomberg