It is reported that Xiaomi India may be planning a round of layoffs, with the aim of bringing down its workforce strength to less than 1,000.
As per a report in ET, the company is in the middle of a rehauling and streamlining of operations, following a dip in mobile sales in India. In fact, the past few weeks have witnessed some terminations at Xiaomi India as part of this exercise. While Xiaomi India’s shipments amounted to about 8 million earlier, it has reduced to about 5 million over a period of a year, in Q1 of 2023.
The mobile phone company, however, also intends to hire as per needs. It had a workforce strength of about 1,500 in January 2023.
The leaders of the company have reportedly been told to identify employees whose performance is not up to the mark. That means, the decision pertaining to termination or rejection will be dependent on the assessment of each employee’s individual performance, in accordance with a performance improvement plan or PIP.
This will not be the first round of layoffs at Xiaomi. In December 2022, about 10 per cent of the global workforce of the company had been terminated as part of an endeavour to optimise and streamline operations. Those impacted had been given severance as per local regulations.
Reports say that all these decisions are centralised and taken in China.
