Gensol EV, a subsidiary of Gensol Engineering, has laid off approximately 50 employees out of its total workforce of 170. The move comes as part of a restructuring effort to navigate ongoing financial difficulties.
Industry sources reveal that some of the affected employees have not yet received their full and final settlements, while others have been waiting for pending salaries since February.
The layoffs coincide with a challenging period for Gensol Engineering, which had its borrowing status downgraded to default by two rating agencies not long ago. Meanwhile, BluSmart, an all-electric ride-hailing company co-founded by Gensol Engineering’s promoters, has also faced disruptions, with senior executives exiting the firm. A restructuring plan that was announced earlier is being reportedly called off.
Despite these setbacks, the company intends to uphold it’s commitment to moving forward with EV production. It will continues to come up with ways to solve its financial challenges while focusing on the long-term sustainability of its business.
Gensol EV was established to expand the company’s footprint in the electric vehicle sector. It set up a greenfield EV-manufacturing facility in Chakan, Pune, to produce electric three-wheelers and four-wheelers.
