SaaS startup Actyv.ai has terminated 60 employees, approximately 50% of its 120-member workforce, a few months after successfully securing a $12 million Pre-Series A round. The layoffs affected employees from various teams, including product, marketing, HR, sales, and solutioning, as reported by Inc42 sources.
Actyv.ai Layoffs Announced During Town Hall Meeting
The layoff news surfaced after Actyv.ai held a town hall meeting on Monday (July 31). During the meeting, the affected employees were informed of the decision, and the startup offered one month’s salary as severance pay.
Actyv.ai Founder and CEO’s Statement on the Layoffs
In a statement, Raghu Subramanian, founder and global CEO of Actyv.ai, expressed appreciation for the dedication and commitment of the impacted team members during this transitional phase. He emphasized that these measures would lead to a more resilient future for the company, enabling it to strategically allocate resources and become a leaner, agile, and tech-forward organization.
Leadership Team Asked to Work Without Salary
According to Entrackr, the leadership team at Actyv.ai has reportedly asked to work without any salary until December or until the next funding round. However, Inc42 has not independently verified this information.
Impact on Employees and Ongoing Funding Slowdown
Following the layoffs, several Actyv.ai employees have updated their LinkedIn profiles with ‘open to work’ status. The startup’s move to downsize its workforce comes amid a growing trend of Indian startups reducing costs and burn rate in response to the ongoing funding slowdown. Reports indicate that nearly 110 Indian startups have collectively laid off over 28,000 employees since the beginning of 2022, a result of the volatile global markets influenced by macroeconomic and geopolitical factors.
The post Actyv.ai fires 60 employees after recent fundraise appeared first on StartupNews.fyi.
