Byju’s layoffs trend again: What’s next for India’s edtech giant?

Why Byju’s is trending again

Byju’s is back in the spotlight with another wave of job cuts as the company navigates insolvency, investor disputes, and a pivot from global expansion to survival mode in India. Recent reports indicate around 500 roles impacted in late September, with tuition centres and sales teams bearing the brunt as the company tightens costs to conserve cash.

The layoff picture

The latest round reportedly affects roughly 500 employees, with nearly half linked to tuition centre operations and a sizeable portion across sales and marketing. This follows earlier episodes where employees alleged abrupt terminations over calls and limited notice, a symptom of a company running hard to stay cash-neutral amid frozen fund-raises and mounting liabilities.

• Sales and tuition centres face deeper consolidation as the firm prioritises centres with healthy footfall and margins.
• Lean central teams and tighter performance controls are likely until a resolution plan injects new capital.
• Expect hiring freezes to continue in non-critical functions until funding clarity emerges.

Inside the insolvency timeline

Byju’s is under a formal corporate insolvency resolution process (CIRP). The Resolution Professional has pushed the Expressions of Interest (EOI) deadline to mid-November, with provisional bidder lists due late November, finals by early December, and full resolution plans expected by mid-January. That makes the next 90 days decisive for whether a buyer, consortium, or asset-led plan can stabilize operations.

• EOI deadline: 13 November 2025.
• Final list of eligible bidders: 8 December 2025.
• Resolution plans due: 12 January 2026.

US assets sold at deep discounts

To placate creditors and unlock cash, Byju’s has already offloaded two major US bets at a fraction of their purchase prices. Coding platform Tynker went to CodeHS for about $2.2 million compared to the $200 million paid in 2021, while children’s reading app Epic reportedly fetched $95 million versus an earlier $500 million deal value. The sales, approved by a US bankruptcy court, highlight a strategic retreat from costly overseas acquisitions.

• Tynker buyer: CodeHS; approximate consideration: $2.2 million.
• Epic buyer: TAL Education; approximate consideration: $95 million.
• Proceeds earmarked for lenders tied to the $1.2 billion term loan.

Aakash and the legal maze

Aakash Educational Services remains the crown jewel—but also a legal quagmire. Ongoing tribunal orders and appellate skirmishes have constrained changes to shareholding and governance, limiting Byju’s options to raise equity or monetize value from the asset quickly. This legal overhang is a key variable any bidder will price into a turnaround plan.

What bidders will really evaluate

Prospective resolution applicants will run a hard check on operating viability, product stickiness, teacher retention, and brand equity—balanced against litigation risk and financial opacity. With approximately 3,100 employees and older audited numbers publicly referenced, bridging the information gap will be critical before term sheets turn into binding plans.

• Operational metrics: paid cohorts, renewal rates, teacher stability, centre-level P&L.
• Legal overhang: disputes around key subsidiaries and investor cases.
• Asset map: what to keep (K–12, test prep), what to carve out (non-core), and what to wind down.

Four plausible scenarios

• Clean resolution plan: A bidder infuses capital, tightens governance, and focuses on fewer, profitable lines—India K–12 plus test prep under stricter unit economics.
• Partial carve-out: Keep core India businesses, sell non-core and remaining international assets, and use proceeds to deleverage.
• Asset-first recovery: Creditors prioritise recoveries via sales and ring-fenced cash control, with growth deferred.
• Litigation drag: Court timelines around Aakash and investor disputes slow everything, pushing cost cuts deeper and stretching uncertainty.

What it means for parents and students

Service continuity is the big question. Many centres will continue but with optimised schedules, while some low-traffic locations could merge or shut. Parents should ask for clear calendars, faculty rosters, and refund or makeup-class policies where disruptions occur. Digital courses should largely run uninterrupted, but expect slower support responses during restructuring.

What it means for employees

Expect a “fewer, sharper roles” phase until fresh capital arrives. Teams closest to revenue and delivery—teachers, academic ops, retention—have better odds. Non-core functions and overlapping middle management are likelier targets in efficiency drives. Communication cadence may remain patchy while CIRP timelines play out; keep personal documentation and claims updated.

How edtech will change

India’s edtech story is entering its second act: governance first, growth second. Flashy acquisitions are out; audited numbers, collections discipline, and parent trust are in. Hybrid learning with transparent outcomes—especially in exam prep—will attract capital, provided brands demonstrate consistent delivery and clean balance sheets.

The bottom line

Byju’s near-term future will be decided less by marketing blitzes and more by what lands on the Committee of Creditors’ table over the next 90 days. If a credible plan secures capital and legal clarity, a compact, India-first Byju’s can still steady itself—leaner, humbler, and laser-focused on outcomes. If not, expect prolonged asset monetisation and a slower, quieter rebuild under new stewardship.