Xiaomi India begins layoffs and restructuring to ‘streamline operations’: Report

Xiaomi India, the popular Chinese smartphone brand, is undergoing a significant reorganisation as it faces challenges such as a decline in market share, increased scrutiny from government agencies, and a need to streamline its operations. According to several current and former employees who spoke to Economic Times, Xiaomi India has embarked on a headcount reduction strategy that aims to bring its workforce down to less than 1,000 employees.

At the beginning of 2023, Xiaomi India employed approximately 1,400 to 1,500 individuals. However, in recent weeks, the company has already laid off around 30 employees, with expectations of further job cuts in the months ahead, as stated by the aforementioned employees.

"As with any company, we take headcount decisions based on the market's state and business projections. Along with optimisation where required, we also continue to hire for positions when and where needed. As a performance-focused organisation, we ensure that the bi-annual performance management process can reward the top performers while also ensuring that the bottom performers are given opportunities to improve within a reasonable period," Xiaomi India said in a statement.

The decision to reduce its workforce is seemingly part of Xiaomi India's broader efforts to adapt to the changing market dynamics and improve operational efficiency. With a slump in market share, the company is evaluating ways to optimise its organisational structure and allocate resources more effectively.

Watch BT Visual Story 10 Hidden iPhone and Android Smartphone Features You Probably Didn't Know About

Also Read

'Buying Netflix at $4 billion would've been better instead of...': Former Yahoo CEO Marissa Mayer

ChatGPT beats top investment funds in stock-picking experiment