Following layoffs throughout the Tata Group, Tata Digital is preparing for substantial job reductions. Reports indicate that more than 50% of the workforce at Tata Neu is at risk of losing their positions. This initiative is part of a restructuring effort spearheaded by the new CEO, Sajith Sivanandan. Tata Neu has been underperforming for the last two years, with numerous strategy changes and departures of senior leaders failing to yield better results. The new CEO aims to shift Tata Neu’s focus towards profitability rather than merely increasing sales, with intentions to boost revenue and curtail unnecessary expenditures.
As part of this strategy, Tata Digital plans to consolidate all its digital services into a single platform, which will not only enhance operational efficiency but also lead to significant layoffs. In other updates, BigBasket is set to concentrate on its BB Now rapid delivery service to remain competitive against Blinkit, Zomato, and Swiggy Instamart, while Croma will be closing unprofitable stores, shifting its emphasis towards offline retail and stepping back from direct competition with Amazon and Flipkart.