Healthtech unicorn Innovaccer lays off 245 employees, 2nd job in 5 months

Health Technology unicorn Innovaccer laid off nearly 245 employees, or about 15 percent of the workforce, across teams in India and the US, the media reported on Tuesday.

Co-founder and CEO of Innovaccer Abhinav Shashank cited an “uncertain macroeconomic environment” as the reason behind the job cuts, according to an internal email sent to employees and consulted by leading startup news portal Inc42.

“Innovaccer has always believed in empowering its customers to accelerate their transformations leading to higher quality of care for patients and populations, improved patient experiences and better financial and operational performance,” Shashank was quoted as said in the email.

The startup said it will provide severance pay to affected employees, as well as temporary health insurance and job-finding assistance.

This is the company’s second layoff in about 4-5 months amid the deepening funding winter and recession fears.

In September last year, Innovaccer laid off nearly 120 employees, or less than 8 percent of its workforce, due to “tough economic conditions,” with most of the layoffs occurring within the engineering teams.

Innovaccer had said that company fundamentals are still strong.

“However, given the current economic conditions, we have made a small headcount reduction to optimize our cost structure,” the company said.

The startup raised $150 million Series E round with a $3.2 billion valuation in February 2022.

In December 2021, Innovaccer raised $150 million, thanks to rapid customer adoption of the Innovaccer Health Cloud.

SEE ALSO: Egyptian researchers digitally unpack 2,300-year-old mummy to find gold and other amulets
Stock markets were mostly ‘nervous’ pre-budget, but a relief rally is likely post-budget, analysts say