Byju’s Resolves Salary Delay Issue: Employees Receive January Pay After Recent Reports.
Byju Raveendran, CEO of Byju’s, announced in a letter that the company has successfully disbursed all delayed January salaries in the last two days, addressing concerns about salary delays. Employees received their pay promptly, with no need to wait until Monday, as disclosed in the exclusive letter accessed by Moneycontrol.
In a letter, Byju Raveendran assured employees that despite initial expectations for Monday, they received their salaries earlier. Raveendran expressed his dedication, mentioning the ongoing efforts and challenges faced to ensure timely payroll, emphasizing the commitment to providing employees with what they deserve.
Byju’s monthly payroll is approximately Rs 70 crore, as reported by company sources to Moneycontrol. This revelation follows recent reports indicating a delay in salary disbursement for the month of January.
Following reports of salary delays, Byju’s management, in a letter to employees, attributed the slight delay to select shareholders, accusing them of creating an artificial crisis. The letter went on to claim a conspiracy by these investors, alleging their demand for the resignation of Byju Raveendran as the group CEO.
In response to recent challenges and the delay in salaries, Byju‘s management acknowledged an unfortunate development in a letter to employees. The letter revealed that some investors took advantage of the crisis to conspire and demanded the resignation of Byju’s founder as the group CEO. Expressing disappointment, the letter highlighted the founders’ significant investment and commitment to Byju’s, criticizing certain investors for not supporting the company during challenging times and instead resorting to media discussions.
Following the letter, Byju’s clarified that the investors advocating for Raveendran’s removal lack the voting rights required to effect a change in leadership. Shareholders had reportedly voiced concerns about the company’s future stability under Byju Raveendran’s leadership, prompting this response from Byju’s management.
Raveendran stated that the ongoing struggle is against a small group with vested interests aiming to sabotage the company. Allegedly, these individuals are causing delays in the announced rights issue for existing shareholders. Raveendran emphasized that the team is more united than ever in response to these efforts to destabilize Byju’s.
Last week, Byju’s parent company, Think and Learn Pvt Ltd, greenlit a rights issue to raise $200 million from current investors. The rights issue began on January 29 and will continue for the next 30 days. Notably, this issue is set at a post-money valuation of $225 million, marking a significant 99% decrease from the company’s previous funding round valuation of $22 billion.
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