Ola Electric to Cut 5% of Workforce in Restructuring, Reuters Reports

India's Ola Electric will lay off 5% of its workforce as part of a restructuring effort, the electric scooter manufacturer announced on Friday, Reuters reported.

The company said it is "doubling down" on speed and discipline through increased automation across its front-end operations, according to the statement. Ola Electric added that it is building a "leaner organisation" positioned for long-term, profitable growth.

Sales for the SoftBank-backed firm, which has not yet turned a profit, declined for much of fiscal 2026, Reuters reported. Competitors including rival Ather Energy and legacy players TVS Motor and Bajaj Auto have overtaken the company in market position.

This marks the second round of job cuts for Ola Electric, which previously reduced its workforce in March 2025, according to Reuters.

The restructuring comes as the electric vehicle sector in India faces intensifying competition, with established automotive manufacturers expanding their electric two-wheeler offerings alongside newer entrants in the market.