Zupee to lay off 170 employees after ban on money-based online games

Gurugram-based company latest to trim team, says it will focus on social games and entertainment products

Zupee said on Thursday it will lay off 170 employees, about 30 per cent of its workforce, after India in August passed a Bill banning online games involving money.

 

Zupee joins other real-money games (RMG) companies like Games24x7, Baazi Games and Mobile Premier League that have sacked employees after the ban.

 

“This has been a tough call for us but was necessary to adapt to the new regulatory framework. Our colleagues who are leaving us have been an integral part of Zupee’s journey and we will always remain thankful for their contribution,” said Dilsher Singh Malhi, founder and chief executive officer of Zupee.

 

 

Gurugram-based Zupee said besides payment in lieu of the notice period, it is offering “additional financial support linked to years of service” to the 170 employees. Health and insurance coverage will continue for the full term after the affected employees leave the company.

 

“In addition, we have set up a Rs 1 crore medical support fund to provide extra security, so no one feels unprotected while they explore their next opportunity,” it said in a statement.

 

The company will prioritise re-hiring its workforce when new roles open up. Zupee has 150 million registered users and plans to focus on online social games and entertainment products.