Homegrown short-video making platform Chingari has laid off 20 per cent of its workforce as part of organisational restructuring.In a statement to IANS, the company spokesperson said that it was "one of the toughest decisions for our management and we understand the impact they have on our employees".
"We are recognising the contribution and dedication of the affected employees by offering a severance package equal to two months' salary to assist them during this transition," said the spokesperson.Additionally, "we will make sure they have three more months of health insurance coverage".
The company said that it will support impacted employees by providing all-encompassing support, such as career counselling and job placement assistance."Our priorities continue to be streamlining processes, boosting productivity, and matching resources to our long-term growth goals," the company spokesperson added.
The layoffs at Chingari, one of the leading Indian short video apps, came as its cofounder Aditya Kothari recently quit the startup.As reported late last year, Chingari had more than 160 million users in over 15 languages. It had more than 5 million daily active users (DAU) and 40 million monthly active users (MAU).
Chingari's crypto token GARI powers India's only blockchain-based social infotainment platform.In October 2021, Chingari raised over $19 million for its token round across more than 30 venture funds and individual investors.
The VC firms participated in the funding round included Republic Crypto, Galaxy Digital, Alameda Research, Solana Capital, Valor Equity Partners, Kraken, Blackpine, NGC, Coinfund, LD Capital, Borderless Capital, AU21, Cultur3 Capital, Long Term Ventures, Afton Capital, CSP DAO, among others.