The edtech start-up Geniebook has recently announced its third round of layoffs in little over a year, shedding 11 staff members as demand for online teaching has plummeted. This latest round of redundancies represents about 3 percent of the company’s 400-strong workforce. The previous two rounds of cuts in 2023 affected 93 employees, or around 13 percent of its then headcount of over 700. Additionally, several freelancers and contractors also left the firm between 2023 and 2024 when their contracts were not renewed.
These layoffs have impacted employees across various departments, including teachers, marketing executives, and the engineering team. Geniebook co-founder and chief executive Neo Zhizhong stated that employees were offered a severance package ranging from one to five months‘ pay, based on their tenure and seniority, as well as a notice period varying from one to three months.
Mr. Neo explained to The Straits Times that the company had expanded „too aggressively“ during the Covid-19 pandemic to meet the demand for online education. As the pandemic has subsided, the demand for on-site classes has increased, prompting the firm to shift its focus towards providing in-person learning at its four tuition centers in Singapore. Consequently, employees such as teachers who could only conduct online lessons and software engineers working on the firm’s online capabilities were let go.
The main reasons cited for the layoffs were financial prudence and a shift in strategy. Mr. Neo emphasized that these adjustments were necessary to ensure that Geniebook could continue to provide a high-quality educational experience to its students in both the online and physical space.
Founded in 2017, Geniebook offers English, Chinese, mathematics, and science classes for primary, secondary, and junior college students. In addition to online and in-person tuition, the platform utilizes artificial intelligence (AI) to create personalized worksheets for students. Students can also participate in moderated chat groups to interact with peers and ask questions.
Headquartered in Singapore, Geniebook has a presence in Vietnam, Malaysia, Indonesia, and China. The company’s user base tripled to around 150,000 between 2019 and 2021, driven by the demand for online tuition classes during the pandemic. Currently, it boasts around 250,000 users and employs more than 100 teachers.
Geniebook’s last capital injection occurred in 2021 when it secured US$16.6 million (S$21.7 million) in a funding round led by East Ventures and Lightspeed Capital Ventures, with contributions from angel investors, including senior executives from Grab, Gojek, and Shopee. Despite the recent layoffs, the company remains committed to providing quality education to its students and adapting to the changing landscape of online and in-person learning.