Facing existential challenges, Ola Electric has unveiled a restructuring plan that includes laying off nearly 5% of its employees. Announced Friday, the move is designed to fortify the company’s position in India’s burgeoning electric two-wheeler industry.
Central to the strategy is increased automation in front-end functions, promoting efficiency, speed, and strict discipline. Ola is crafting a streamlined setup to excel in customer delight and forge a path to profitable scalability.
Hyper-service efforts are yielding results, with over 80% of service tickets closed same-day across the country. Despite this, the company grapples with a market share erosion—from 36.7% in 2024 to 16.1% in 2025—allowing rivals to surge ahead.
Customer grievances over prolonged service times and delivery mishaps have compounded problems. Q2 numbers reveal distress: a staggering Rs 418 crore net loss and operational revenue shrinking 43% to Rs 690 crore from the previous quarter.
This workforce reduction is part of Ola’s broader reset to stabilize operations. In a market poised for transformation, success hinges on rapid service enhancements and innovative offerings. The layoffs may sting short-term, but they position Ola Electric for a potential resurgence in the electrified future of mobility.