/dq/media/media_files/2026/02/13/why-myntras-gurgaon-exit-reflects-2026-02-13-12-04-46.jpg)
Layoffs in India are taking a new shape as Flipkart-owned Myntra restructures its workforce by centralising teams and reducing overlapping roles. There is a change in the dynamics of occurrence of layoffs and workforce changes in the Indian technology and consumer internet sectors. Companies are also reorganising the business in order to create teams to cut redundancy and enhance efficiency, instead of merely eliminating positions as a budget-saving strategy. An interesting phenomenon of this tendency is currently being developed at Myntra, the fashion and beauty store belonging to Flipkart.
Myntra consolidates Gurgaon roles into Bengaluru headquarters
As part of its restructuring, Myntra is shifting roles from its Gurgaon office to its Bengaluru headquarters to improve coordination and reduce duplication. Myntra has indicated that the company has started consolidating its Gurgaon satellite business in its main offices in Bengaluru. This has seen some of the positions moved to Bengaluru with some of the positions in Gurgaon being phased out to around 50 positions in the Catalogue Operations department. The people whose positions are retained are receiving relocation benefits, and the hurt personnel are receiving severance compensation, outplacement benefits and prolonged health insurance. The merger is supposed to help to simplify the processes within the company and enhance the coordination of teams. The sources claimed that the changes had no connection with the impact or performance problems of artificial intelligence.
The restructuring is a wider pattern of Indian firms to tighten geographic dispersion and promote a tightening of the fundamental business unit. The companies are looking to improve operational convergence and speed up the decision-making process by relocating catalogue, merchandising, supply chain and technology teams towards each other.
Myntra financial results FY25: Strong financial performance accompanies restructuring
According to Myntra’s financial results for FY25 filed with the Registrar of Companies, the company recorded strong profit growth despite the restructuring. The reason the Myntra move is especially interesting, is that it coincides with good financial performance of the company. Myntra net profit increased by almost eighteen times to 548 crore in the financial year until March 2025, according to financial statements submitted to the Registrar of Companies (RoC), compared to 31 crore in FY24. The operating revenue of the company has risen by 18 percent to reach Rs 6,043 crore which is compensated by slower rate of increase in expenses and this has helped to boost the margins.
In this performance, it is clear that the consolidation is motivated by a passion to increase structural efficiency as opposed to distress. The shift toward centralised operations and employee alignment is timed as the digital firms that face customers in India are balancing between growth and increased control.
Myntra would like to simplify its internal functions and enhance coordination between catalogue, merchandising, supply chain, and technology divisions by making them central to Bengaluru. NASSCOM and Deloitte have also reported in their workforce and GCC strategy reports the wider tendency of Indian technology companies to shrink their operational dispersal and concentrate on fewer destinations.
Job cuts in Indian startups with changing nature of Layoffs
This reflects a wider pattern of workforce restructuring in India, where Indian tech companies in 2026 are redesigning teams rather than conducting mass layoffs. The layoffs and workforce restructurings in India are becoming more of an evolution than a mere reduction of costs. Previous cycles particularly in the times of economic recession revolved around reduction of headcount on a larger scale. The present stage is characterised by businesses reconsidering the location and manner in which the work is performed, with the trend towards centralising it and re-allocating employees to more productive efforts. This trend in e-commerce is not the only example as it can also be observed in Global Capability Centres (GCCs) and large technology companies.
This change presents new dynamics on the part of the employees. The aspect of relocation is incorporated in the negotiation of employment and the career mobility planning becomes important. Place-based roles and highly specific functions could be more susceptible as companies need more flexibility and closer collaboration between teams. The future of work in India is increasingly linked to flexibility, relocation readiness and multi-skilled roles.
This pattern highlights the significance of workforce preparedness within a fast-evolving workforce environment. Those employees who can acquire transferable skills irrespective of the functions and locations are likely to be in a better position. The functional flexibility and analytics capabilities, as well as digital fluency are gaining importance as companies invest in centralised and integrated teams.
Meanwhile, businesses are being evaluated based on the way they cope with transitions. Myntra, which provides severance pay, outplacement support and extended insurance, serves to demonstrate a more formal approach to workforce adjustment, which is a combination of commercial and employee welfare concerns.
Layoffs in India 2026
Myntra’s restructuring shows how layoffs in India are now part of long-term organisational planning rather than emergency cost-cutting. The way Myntra is centralising its Gurgaon business into Bengaluru shows that layoffs and workforce restructuring is becoming a tactical organisational design in India. Instead of being motivated by financial distress only, these changes represent more profound transformations in the process of how companies arrange work, centralise expertise and plan competitiveness in the long term. This trend is sweeping through the tech and e-commerce industries of India and no matter the impacted employees and employers will have to adjust to a new normal where efficient structures and scalable skills are more important than ever.
/dq/media/agency_attachments/UPxQAOdkwhCk8EYzqyvs.png)
Follow Us