As edtech platforms continue to lay off employees in India, US-based celebrity-driven learning provider MasterClass has announced it is reducing its workforce by 20 per cent. MasterClass CEO David Rogier said the decision was taken to “adapt to the worsening macro environment and get to self sustainability faster”.
The layoff impacts nearly 120 people across all teams from its 600-strong workforce. “It was the most difficult decision I’ve had to make since we launched 7 years ago, because our team poured their heart and soul into MasterClass. They are some of the most creative, curious, caring and dedicated people in the world,” Rogier tweeted late on Wednesday.
He said that this very tough step will “strengthen our position both financially and strategically, allowing us to serve our members, employees and instructors for many years to come”. The edtech company, which was last valued at $2.75 billion, has pledged to provide healthcare to affected employees through the end of the year, reports TechCrunch.
MasterClass made remote education with aspirational content (entertainment) available from celebrities such as Serena Williams and Issa Rae. MasterClass raised more than $460 million from investors including IVP, NEA and Owl Ventures. Even former Chess World Champion Garry Kasparov launched a “MasterClass for chess lovers” platform.
MasterClass charges a $180 annual subscription fee for people to access its library of content. In India, edtech platforms have laid off more than 3,600 employees to date. Overall, nearly 10,000 workers have lost their jobs in the Indian startup ecosystem in the last 2-3 months.