Unacademy has been in the news once more. Right now, it’s not focused on funding or product development. Hundreds of employees were let go by the company in 2024. These layoffs reveal a major change in how Unacademy is being reorganized. The question now is—what does this mean for the future? The term “unacademy layoffs” has become one of the top searches in India’s education and startup sectors. This blog explains the ongoing events, impacts, and what lies ahead.
What is Unacademy?
The Indian edtech company Unacademy is what I am referring to. In 2015, Gaurav Munjal, Roman Saini and Hemesh Singh formed the company. The website provides lessons for people preparing for different competitive exams. With time, it was built quickly and turned into a unicorn.
Top investors wanted to be part of it. It did not take long for it to cover subjects such as NEET, JEE, UPSC and so on. The topic was introduced to schools and lessons based on skills. At the same time, increased size presented new challenges.
Understanding the Unacademy Layoffs
The latest unacademy layoffs are part of a cost-cutting move. The company removed about 250 employees. Departments like sales, marketing, and operations were affected. This is not the first time it has happened.
The exact keyword “unacademy layoffs” has been trending since 2022. There have been layoffs almost every year since 2020. Each round shows pressure on the edtech business model.
Layoffs Timeline and Impact
Unacademy has faced layoffs multiple times. Here is a quick table showing the timeline:
| Year | Employees Laid Off | Reason |
| 2020 | 600+ | Pandemic-related downsizing |
| 2022 | 1,000+ | Cost restructuring |
| 2023 | 380 | Efficiency-focused layoffs |
| 2024 | 250 | Business realignment |
These numbers show that unacademy layoffs are part of a pattern. This is not a one-time move.
Is Unacademy Shutting Down?
Many are asking: is Unacademy shutting down? The answer is no. Unacademy is not closing its doors. But it is changing how it works. It is shifting focus to profitable areas.
The company is shutting down some units. It is also merging smaller verticals. The goal is to survive and grow with fewer expenses.
What Sparked the Unacademy Layoffs?
There are many reasons behind the unacademy layoffs. First is the funding slowdown. Investors are now looking at profits over growth.
Second is rising operational cost. Third is over-hiring in earlier years. Now, the company is trimming roles.
The exit of CTO Hemesh Singh also affected leadership dynamics. Some mergers and partnerships are also under discussion.
Unacademy Revenue Performance
The next important point is revenue. Let’s look at the company’s recent performance:
| Financial Year | Revenue (INR Cr) | Change (%) |
| FY21 | 398 | – |
| FY22 | 719 | +81% |
| FY23 | 907 | +26% |
| FY24 | 840 (estimated) | -7% |
The table shows growth slowed down. Unacademy revenue is no longer increasing sharply. This revenue pressure is part of why layoffs are happening.
Is Unacademy in Loss?
Yes, Unacademy is still in loss. Although losses are reducing, the company is yet to make profits. Here’s how it looks:
- FY22 Loss: INR 2,848 Cr
- FY23 Loss: INR 1,678 Cr
- FY24 Loss: INR 631 Cr (projected)
So, is Unacademy in loss? Absolutely. But the trend shows that the losses are shrinking. That’s a positive sign.
Unacademy Net Worth and Valuation 2024
Unacademy valuation 2024 has taken a hit. At its peak, it was valued at $3.44 billion. But today, some reports suggest it’s closer to $800 million.
This change affects everything. Funding, investor trust, and public perception. The unacademy net worth has dropped with its valuation.
How Founders Are Responding?
CEO Gaurav Munjal addressed the layoffs directly. He mentioned focusing on sustainability. He also promised support for impacted employees.
Unacademy layoffs Gaurav Munjal statements often highlight cost discipline. He admitted hiring too fast. Now, the company is taking corrective action.
Hemesh Singh, another co-founder, has stepped away. This shift in top leadership is a big moment for Unacademy.
Are More Layoffs Expected?
The question now is whether more unacademy layoffs are coming. It’s hard to say. But if revenue stays low, more cuts could follow.
The company wants to reach profitability soon. If it fails, unacademy layoffs today might be repeated again in coming quarters.
Offline Expansion and Future Focus
Unacademy is now investing in offline centers. These centers offer classroom training. The aim is to reach more Tier 2 and Tier 3 students.
The company believes hybrid learning is the future. It wants to balance online and offline teaching models.
Company Strategy Moving Forward
Here are some key points Unacademy is focusing on:
- Cutting non-core verticals
- Improving unit economics
- Scaling profitable segments
- Increasing student outcomes
- Merging with K12 players
This multi-point strategy will guide the company ahead. Whether it works remains to be seen.
Employee Sentiment
Employees have mixed reactions. Some feel betrayed. Others understand the company’s position.
There are reports of delayed appraisals. Morale has dipped. Trust needs rebuilding.
Comparing Unacademy Layoffs From 2020 to 2024
Let’s compare unacademy layoffs 2020 vs 2024:
| Year | Focus | Impacted Areas | Reason |
| 2020 | Online Growth | Contractual Staff | Pandemic response |
| 2022 | Expansion Cut | Core Teams | Market correction |
| 2023 | Efficiency | Product, Sales | Profit over growth |
| 2024 | Restructuring | Sales, Marketing | Focus on sustainable units |
The shift shows changing goals—from rapid growth to lean operations.
Conclusion
The 2024 unacademy layoffs show where the edtech industry stands today. High valuations are no longer enough. Now it’s about results. It’s about profits.
Unacademy is trimming its excess. The journey is tough. But not over. The company is still one of India’s top edtech names.
The next few years will tell whether these cuts will work. For now, unacademy layoffs remind us that change is the only constant in business.
FAQ’s
- Is Unacademy shutting down?
No, Unacademy is not shutting down. The company is restructuring its operations. While it has laid off several employees, it is also expanding offline learning centers and working toward profitability.
- Why is Unacademy laying off employees?
The main reasons include rising operational costs, funding challenges, and a shift in focus toward sustainable growth. The company is removing non-core roles and merging business verticals to reduce losses.
- What is Unacademy’s current valuation in 2024?
As of 2024, Unacademy’s valuation has dropped significantly. From a peak of $3.44 billion, it is now reportedly valued at around $800 million due to business challenges and market shifts.
- Is Unacademy still in loss?
Yes, Unacademy is still operating at a loss. However, the losses are declining. In FY24, the projected loss was ₹631 crore, a 62% improvement over the previous year.
- Who are the founders of Unacademy?
Unacademy was founded in 2015 by Gaurav Munjal, Roman Saini, and Hemesh Singh. Gaurav Munjal remains the CEO. Hemesh Singh stepped down from his role as CTO in 2024 but still acts as an advisor.
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