Byju’s, an edtech company, along with several former employees, was called upon by the Karnataka government to engage in a conciliation meeting on Friday. This action comes in response to complaints filed by ex-staff members regarding outstanding payments.
The Karnataka labor department received numerous emails from former employees citing delays in receiving their full and final settlements post-termination. Subsequently, a notice was issued mandating both the company and the concerned employees to attend a meeting to address these grievances. Non-compliance could lead to legal repercussions, as specified in the notice issued in Kannada.
A senior official from the labor department confirmed the receipt of approximately 20-30 complaints primarily concerning delayed final settlements. A meeting took place on Friday, with additional sessions planned for future dates, accommodating both in-person and online participation. Notices have been dispatched to Think and Learn Private Limited, the parent company of Byju’s, as part of the reconciliation process between the involved parties.
Sources close to the company verified the attendance of an HR executive from the company and several former employees at the meeting on Friday, refraining from providing detailed information on the proceedings.
“I was forced to exit the company 4 months ago, and still haven’t received my full and final settlement. Despite reaching out to the HR multiple times, we haven’t received any confirmation on when the dues would be cleared. Tentatively we have been told that the company would clear the dues by the end of April. This has forced us to take legal advice to get the matter resolved,” a former employee who has served as a Senior BDA for over 2.5 years at the company told FE.
Simultaneously, Byju’s remains ensnared in a profound liquidity crisis, compounding its challenges amid numerous regulatory actions initiated by the BCCI, a consortium of foreign creditors, and France-based vendor Teleperformance, seeking insolvency proceedings at the NCLT. These legal entanglements are further exacerbated by unresolved financial obligations to employees, encompassing full and final settlements, PF, and TDS payments, all contributing to its mounting liabilities. Sources with insights into the company’s operations suggest its total liabilities amount to $120 million.
