India-based budget hotel chain Oyo Hotels & Homes has reportedly laid off nearly 300 more employees from its operations team.

Mint has reported two people aware of the matter as saying that the layoffs are a part of the company’s plans to reduce costs amid fall in business due to the impact of Covid-19 pandemic.

Currently, the company is in the process of shifting to a revenue-sharing model from a minimum business guarantee model.

One of the people was quoted by the publication as saying: “With this, 99% of Oyo’s franchise business will be revenue sharing, with only some properties still following a minimum guarantee assurance.

“In a bid to also automate several processes, Oyo has introduced newer tech deployments, which created further redundancies for the laid-off staff.”

The hotel chain is backed by Japan’s SoftBank Group. Its portfolio combines fully operated real estate comprising more than 43,000 hotels with over one million rooms, according to information posted on the company’s website.

Oyo spokesperson was quoted by Mint as saying: “We have done no significant restructuring at this point in time.

“There are some localised actions, basis change in business models and our move towards product and technology to serve our partners and customers, keeping in mind the current business realities.”

In August this year, Oyo Hotels & Rooms launched an initiative called Hospitality 2.0 to overhaul its operations in the Gulf Cooperation Council (GCC) region amid the Covid-19 pandemic.