Treebo Hotels, run and operated by hospitality company, Ruptub Solutions, has laid off about 100-120 employees, which is about 20 per cent of its staff. About the same time last year, Treebo had asked about 70 to 80 of its staff members to go when MakeMyTrip, the online travel agency, had delisted the company on its platform, in favour of collaborating with Oyo Rooms.
It is reported that a very big potential investment round had fallen through, which triggered the layoffs. Not long ago, there was news of a French hotel chain planning to invest millions of dollars in Treebo.
The employees have been given a month’s severance pay and assured that they would be offered recommendation letters to help them get new jobs and find alternative employment. However, most employees are rather shocked by the turn of events, especially since the Company had been actively hiring recently.
Also, Treebo had managed to raise $34 million last year in a funding round lead by Ward Ferry Management, Hong Kong-based hedge funds, and Karst Peak Capital. The Company had been planning to expand aggressively, and was hoping to add hundred of new properties to its portfolio by 2020. It also had plans to launch its operations in about 70 towns and cities across the country, in a bid to double its business. Therefore, these layoffs came as a big and unpleasant surprise.
Value our content... contribute towards our growth. Even a small contribution a month would be of great help for us.
Since eight years, we have been serving the industry through daily news and stories. Our content is free for all and we plan to keep it that way.
Support HRKatha. Pay Here (All it takes is a minute)
