Based in Bengaluru 80% of the employees at silk yarn manufacturer ReshaMandi were let off after the company was unable to obtain Series B finance. Since last year, the firm has been cutting back on activities. In january 2023, there were 500 employees; by the end of the year, that number had dropped to about 100. According to sources, about 300 employees of the organisation are still expecting their last salary and dues from these.
 
The firm fell victim to the growth-at-all-costs ethos, which caused it to inflate sales in FY23 and FY22, Inc42 claimed, citing ReshaMandi's workers and citing the company's fast development across verticals following its fundraising in october 2021. It's quite possible that Temasek and other investors learned about the current charges made by staff members in our chats and on social media.
 
When ReshaMandi was established in 2020, investors such as Creation Investments, Omnivore, Venture Catalysts, and others contributed more than $40 million in equity capital. Additionally, the business obtained debt from lenders and venture capitalists totaling around ₹300 crore. Following this, it had financial difficulties that resulted in staff layoffs beginning in june 2023. It was stated that workers were given the option to labour for three months without receiving pay before being let go.
 
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Bengaluru

G GOWTHAM

24/06/2024 10:58 AM