Money market’s new loan business fell by nearly 90 percent
There is also problem in getting back the loan due to Moratorium
Digital Landing Marketplace Paisabazaar has fired around 1500 employees. The company has taken the decision to reduce costs after Kovid-19 has affected earnings. This information has been given in a media report quoting 3 people aware of this matter.
Nearly 50 percent of the workforce is fired
Approximately 3000 employees work in Paisabazaar. Accordingly, the company has laid off about 50 percent of its workforce. Employees who were fired used to work in the Operations and Business Acquisition Division. Due to the Corona crisis, the new loan business of Paisabazaar has registered a decline of nearly 90 percent.
Notice period ends on June 30
According to the Live Mint report, Paisabazar had asked the fired employees to give 30 days notice. The period of this notice is ending on 30 June. According to a source, around 100 employees, including some senior executives, have been accommodated in PolicyBazaar. PolicyBazaar is a subsidiary of Insurance Services of Paisabazaar. However, Paisabazaar has not responded to this.
Digital landing industry severely affected by Corona epidemic
The digital landing industry has been badly affected in the last two months due to the coronavirus epidemic. There has been a big decline in new loan approvals of the leading companies of this industry. Due to the epidemic most digital landing companies are struggling to raise cash from banks and NBFCs. For this reason companies have also raised interest rates on lending. These companies are also facing difficulty in getting back the loan due to increase of Moratorium by RBI.