NEW DELHI, India — Ola Electric on Friday said it will lay off approximately 5 percent of its workforce as part of what the company described as an ongoing “structural transformation,” as the electric two-wheeler maker seeks to streamline operations and improve efficiency.
In a statement, the Bhavish Aggarwal-led company said it is “doubling down on speed and discipline through increased automation across its frontend operations.”
“As part of this ongoing structural transformation, approximately 5 per cent of the workforce will be impacted,” Ola Electric said.
The company added that it remains focused on delivering a stronger customer experience while building a leaner organization positioned for long-term, profitable growth.
“Ola Electric continues to focus on its business turnaround, building on the early gains delivered through Hyperservice and its service-led execution reset, with same-day resolution now being delivered to over 80 per cent of service requests nationwide,” the company stated.
The layoffs come at a time when India’s electric two-wheeler market has undergone a significant shift. In 2025, Ola Electric lost a substantial portion of its market share as traditional automobile manufacturers strengthened their positions. The company’s market share fell sharply to 16.1 percent in 2025 from 36.7 percent in 2024.
The decline underscored mounting challenges for Ola Electric over the past year, including operational issues and customer complaints related to service delays and inconsistent deliveries.
Financially, the company reported a consolidated net loss of Rs 418 crore in the second quarter of the current financial year (Q2 FY26). Revenue from operations declined nearly 43 percent year-on-year to Rs 690 crore in Q2, compared with Rs 1,214 crore in the same quarter of the previous financial year.
In an earlier exchange filing, Ola Electric said, “For the Auto segment, we expect lower volumes than the Q1 guidance as we continue to focus on margin and cash discipline in a hyper competitive market.”
Shares of Ola Electric closed at Rs 32.3 apiece on Friday. (Source: IANS)
