Fintech startup Lendingkart has laid off over half of its workforce, affecting more than 250 employees out of a total of around 500, with immediate effect across its offices in Ahmedabad and Bangalore. The drastic cuts come as the company, an NBFC focused on lending to small and medium enterprises, faces severe pressure from the COVID-19 pandemic and India's economic slowdown. Despite the CEO recently highlighting digital lending as an opportunity during the crisis, the core MSE sector it serves has been brutally hit by the lockdown, compromising demand and likely straining liquidity. Employees reported being asked to resign voluntarily with vague compensation terms, without a clear official announcement from the company.
