India’s Ola Electric plans to lay off 500 employees

India’s leading electric scooter manufacturer, Ola Electric, is reportedly planning to reduce its workforce by around 500 employees to focus on profitability, according to sources cited by Moneycontrol on Thursday.

Ola Electric’s stock closed 3 per cent lower at 67.23 rupees, its lowest-ever closing price.

The company, which currently employs 4,011 people, has not officially confirmed or commented on the media reports.

Ola Electric, backed by SoftBank, is working on reducing costs to become profitable by using in-house batteries for its scooters.

Despite a successful stock market debut, the company faces regulatory challenges and increasing competition in India’s electric two-wheeler market.

Consumer complaints have prompted an investigation into Ola’s service and product quality, with rivals offering competitive models.

Attribution: Reuters

Subediting: Y.Yasser