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Tuesday, May 19, 2026

Indian IT Startup Shuts Down Abruptly; 19 Employees Laid Off Over Video Call

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An Indian IT startup shut down without warning, laying off all 19 of its employees during an unexpected video call—leaving workers stunned and jobless. The incident came to light through a Reddit post that has since gone viral, drawing widespread criticism and sparking discussions around startup culture and employee treatment.

According to the Redditor, what began as an ordinary workday at the four-year-old startup—specializing in cloud and chatbot management—took a shocking turn when the CEO abruptly called for an all-hands meeting. During the call, the CEO revealed that the company had exhausted its funds, all investors had pulled out, and the business was closing down with immediate effect. Employees were told they wouldn’t receive their salaries for the month and were advised not to report to work the next day.

“There were no signs—no funding issues communicated, no layoffs, nothing. Just like that, we were told it’s over,” the Redditor wrote.
“It still hasn’t sunk in. We’re all jobless overnight.”

The CEO reportedly promised to “try and help” affected staff find new roles, but employees described the gesture as inadequate given the circumstances. Many are now grappling with the emotional and financial aftermath.

The post prompted a flood of responses from users sharing similar stories—ranging from abrupt closures to last-minute layoffs—highlighting the instability many face in India’s growing but volatile startup ecosystem.

One commenter recalled:

“I was in the same situation in November. Everything seemed normal until the CEO told us we had just one month to find new jobs. It was my first job. I was devastated.”

Another user said:

“My sister was in the hospital and I needed my paycheck. I opened Slack and found no one online. Minutes later, I was laid off in a 3-minute Zoom call. I’ve been struggling since.”

Despite the hardship, many offered words of encouragement, urging the original poster and others to stay resilient and keep searching for new opportunities.