After Flipkart said it was laying off at least 300 people, the company’s co-founder Sachin Bansal justified it and said he was removed as CEO because of performance issues.
At a town hall meeting, he said, “Look at the top level around you. Everyone has changed. In fact, even I am gone. Some of our targets have been missed and everyone, including the top management, has paid the price.”
Bansal’s admission was seen as an effort to placate employees upset by the recent layoffs at the company.
He was replaced by Binny Bansal, who was promoted from Chief Operating Officer to head the company.
Flipkart, set up in 2007, sells everything from cellphones to suitcases and cosmetics, competing with home-grown rival Snapdeal and Amazon’s Indian unit. But the company’s valuation fell from $15 billion to $11 billion earlier this year.