Bangalore: The cutback of India’s e-commerce sector has led to the handing out of pink slips by online retailers as they shift attention from acquiring customers to controlling costs. Among the companies sacking staff, Flipkart and Jabong, the leaders in the e-commerce space have nearly sacked about one-tenth of the workforce, reports TOI.

At Flipkart, nearly 250 employees have been expelled while in Jabong, similar number of employees have been sacked.  “People are being let off every month”, said a Flipkart employee who was sacked in April.

While enquired, both the companies responded that they continue to hire but according to few industry executives, ‘it is ever first time that e-commerce firms are sacking staff in huge numbers.’ On the other hand, a startup Inkfruit, an apparel portal has also asked several employees to leave.

On the contrary, as per the Internet and Mobile Association of India, the country’s online retail segment is growing rapidly, with revenues estimated to rise to 10,000 crore from 6500 crore

Majority of the ecommerce firms have been under pressure to alter their business models and those online ventures that have received foreign direct investment aren’t allowed to sell multiple brands directly to customers. Most of the online retailers have adopted a marketplace model where they aggregate the products of multiple vendors on their respective sites.

The union between apparel portals FashionAndYou and UrbanTouch led to the expelling of 100 employees of UrbanTouch. According to the experts, those people seeking a career in ecommerce sector must realize that these are jobs with one-year outlook.

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