Gostudent apparently lays off hundreds of employees

The tutoring platform is said to have terminated around 350 employees. Employees from the customer service department are said to be particularly affected.

Edtech Gostudent is said to have laid off hundreds of employees, as the Handelsblatt reports. This is already the second wave of layoffs in three months. While the tutoring platform still had around 2,000 employees in May, it now only has around 1,300, it said, adding that 350 employees have reportedly been laid off in the current wave of layoffs. The company has not yet confirmed this figure.

The reason for the layoffs is the economic downturn, which is having a negative impact on the company's plans. According to Handelsblatt, Gostudent may be facing the end of its operations in the USA, Sweden, Russia and Canada. The edtech could also withdraw from Latin America. There had been accusations within the company that the management team had exaggerated its growth ambitions.

Felix Ohswald and Gregor Müller founded Gostudent in 2016, an Austrian startup that offers a platform that connects tutors with students. The tutoring sessions take place via video conference. As recently as January of this year, the company received 300 million euros in a financing round. As a result, the company is said to have planned for 250 percent growth. That target has since been reduced to 80 percent, it said.