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April 5, 2023
June 14, 2024

Dunzo Layoffs: What Happened & Why?

In April 2023, Dunzo, a quick commerce startup backed by Reliance Retail, made headlines when it laid off 30% of its workforce, affecting around 300 employees. In this article, we'll delve into the reasons behind these layoffs and discuss the potential future impact on the company and the industry as a whole.

Why did Dunzo have layoffs?

One of the primary reasons behind Dunzo's decision to lay off 30% of its workforce was the company's struggle to raise fresh capital, which led to a need to save cash and become profitable. This indicates that economic pressures played a significant role in the layoffs. Additionally, the company is planning a shift in its business model, suggesting that Dunzo is responding to changes in industry demands and undergoing internal restructurings.

Dunzo's co-founder and CEO, Kabeer Biswas, informed employees about the job cuts in a town hall meeting. Unfortunately, no details about severance packages offered to the laid-off employees were mentioned in the sources provided.

Financial Impact and Future Directions

The layoffs at Dunzo, which affected around 300 employees, were implemented as a cost-saving measure to help the company save cash and become profitable. Regarding strategic shifts, the company is planning a change in its business model, but no further information about the nature of this shift or any focus on specific products or markets is provided.

Impact on Industry

As Dunzo undergoes layoffs and a shift in its business model, the future impact on the food industry remains a topic of keen interest. The company's adjustments could pave the way for innovative strategies and partnerships within the food sector. While predicting the precise effects of Dunzo's organizational changes on the industry is challenging, these developments could potentially reshape market dynamics and influence future trends in food service and delivery.


Dunzo's layoffs, affecting 300 employees, were driven by struggles to raise capital and a shift in business strategy. The company aims to save cash and become profitable, but the exact impact on its future and industry standing remains uncertain. These developments could lead to new strategies and partnerships in the broader market.