Archive · 11 Aug 2025
Ola Electric's Workforce Shrinks Amid Market Share Decline
Ola Electric, a company that makes electric scooters, is having some problems.
They lost a lot of employees, with over half leaving the company.
Their market share also went down because other companies like TVS and Bajaj are doing better.
Ola Electric even stopped working on a project to make electric cars, and now plans to work on three-wheelers instead.
The company expects to sell less in the future than they were hoping for.
This is due to tough competition from other brands and some problems that customers had with the scooters.
Ola Electric's workforce decreased by nearly a fifth, shrinking to 3,231 employees in FY25.
Attrition rates at Ola Electric surged to 54% in FY25, significantly higher than the industry average.
The company's product and technology development team saw a 16% reduction in headcount.
Ola Electric's market share dropped to around 19% in June 2025, facing competition from traditional brands.
The company is projecting a slower growth for FY26, with a potential decrease in sales.
- Who
- Ola Electric, a manufacturer of electric vehicles.
- What
- Ola Electric is experiencing a shrinking workforce and declining market share.
- When
- The changes occurred in FY25 and are projected to continue into FY26.
- Where
- The company operates in the electric vehicle market.
- Why
- The changes are due to high attrition, competitive pressure, and shifts in product plans.
Ola Electric
Competitors
Attrition and Market Competition
Ola Electric
Higher attrition due to front-end churn due to direct stores.
Competitors
Industry is experiencing heightened competition, some negative brand equity from servicing related issues.
- FY25 Attrition Rate
- 54%
- FY24 Attrition Rate
- 44%
- FY24 Industry Attrition
- 10.4%
- Total Employees FY25
- 3,231
- Market Share (June 2025)
- 19%
- Projected FY26 Sales
- 325,000-375,000 vehicles