Healthtech unicorn Innovacer has laid off 15 per cent of its workforce, which means around 245 employees across the organisation (including both US and India teams) were impacted.
In a press statement, Abhinav Shashank, co-founder and CEO, Innovaccer, attributed these layoffs to a shift in business organisational focus. The company is offering a severance package to the impacted employees along with transitional health insurance benefits and job placement support.
“Innovaccer has always believed in empowering its customers to accelerate their transformations, leading to higher quality care for patients and populations, improved patient experiences, and better financial and operational performance. This will be our central focus as the industry shifts from a predominantly fee-for-service model to value-based, consumer-centric care. Hence, we are taking the much-needed step of doubling down on our core capabilities and streamlining our organisational focus,” said Shashank.
He added that as a result of this shift in organisational focus, Innovacer will be deprioritising certain areas and offerings that distract the company from its core portfolio, resulting in a reduction of workforce by approximately 15 per cent.
“It was a very difficult decision for us. Our employees are the core of our business. We are thankful for each and every person who has helped us advance our mission to connect and curate the world’s healthcare information,” Shashank added.
He also highlighted that Innovaccer is in a “very strong financial position, with a rock-solid balance sheet.” The company has raised more than $425 million in capital with the majority still available for future investments.