On the very next day after the acquisition, as many as 20 of the firm’s 50 employees got pink slips from the company, according to a report. The people asked to leave were employed in project management, engineering, user interface, testing and marketing. The reason cited by one of the employees was that the company no longer had suitable roles to offer to the employees.
The lay-offs highlight a dark side of the start-up culture in India, where initially high-profile acquisitions grab headlines, but not much is said about what happens after these deals transpire.
Quoting from a news article about a recent startup acquisition in Bangalore: