Delhi, New: The massive online retailer Flipkart, which is owned by Walmart, plans to let go of about 1,000 workers as part of an annual restructuring. These workers make up about 5% of the company's total employment. The decision comes as part of the company's routine performance-based job cost cuts, sources familiar with the matter informed Moneycontrol.

Employee Count and Myntra Staff Exclusion

Including workers from the online fashion portal Myntra, Flipkart currently employs over 22,000 people in Bengaluru.

No Quick Reaction from Flipkart

The website has contacted Flipkart for comments on the issue, but the company has not responded right away to inquiries about the job losses, according to a Moneycontrol story. (Also Read: Riding The Billions: Meet the Indian Tycoon With a Net Worth of Rs. whose Company Drives Luxury Giants Like Rolls-Royce, Mercedes-Benz, and BMW.)

The CEO's Town Hall Views

On January 25, Flipkart CEO Kalyan Krishnamurthy gave information on the company's financial situation at a town hall meeting for staff members. He gave the staff assurances that things are improving financially for the company and that things will become much better by the end of the year.

Possible Effect on IPO Strategies

It was suggested by Krishnamurthy that Flipkart's IPO might be postponed until 2025. The choice was made because it was thought that by then, unit economics would have improved, setting up the business for a more successful IPO.

Good Business Developments

Krishnamurthy emphasized Flipkart's strong developments in spite of the reorganization. He reported that the United Payments Interface (UPI) initiative of the corporation is developing and is being tested on a small user base. He also mentioned that Flipkart's mobile app business is starting to produce a profit, pointing to the company's favorable trends and growth.