BYJU’S series of crises continues as the ed-tech platform has been locked out of over 100 BYJU’S Tuition Centres spread nationwide in states such as UP, Bihar, Jharkhand, and others.
Due payment of rent for the past 2-3 months along with electricity charges, water bills, and garbage collection bills has been reported as the reason why the owners of the commercial property hosting these centers have evicted the company.
Under BYJU’S 3.0 strategy, the ed-tech firm had planned to control the operational cost of both online and offline services. As part of the plan, a pay cut was laid on the existing teaching staff along with the onboarding of new teachers at low salaries. Additionally, many BTCs were switched to hybrid learning centers.
This has resulted in a worsened quality of learning imparted, as well as a drop in the rate of new enrollments. The student attrition rate has skyrocketed with parents demanding refunds amidst the current conditions of the ed-tech platform, suggest inc42 reports.
BYJU’S had launched its Tuition Centre business in 2022 with plans to invest $200 to expand its vertical. But these setbacks signal that the plans did not come to fruition. Earlier in March, the Bengaluru-based company made claims that 262 out of the total 292 tuition centers were still functional.
In the last two months, BYJU’S has managed to reach settlement in two of the many insolvency cases filed against it. The company has been struggling on multiple fronts and the forced exit from BTC has joined the club of insolvency cases, conflicts with investors, employee dues, and more so.
