Softbank backed Oyo said it will lay off 5,000 employees as part of a restructuring programme.
This restructuring will be done to reduce costs and look for profitability, according to a Bloomberg report.
The report further added that the cuts will take place across India, US and China, and trim the company's headcount to 25,000.
The unicorn company has raised around $1.5 billion from investors to become the world’s largest hotel chain but has been struggling to become profitable.