Africa-focused tech talent accelerator Andela will cut 400 junior engineers across Kenya, Uganda and Nigeria, Chief executive and co-founder Jeremy Johnson said the move will impact junior engineers as the company focuses on boosting its senior talent.
“This shift in demand also means that we now have more junior talent than we are able to place,” he said in a statement. “This is a challenge for the business, and for these junior engineers who want and deserve authentic work experiences that we are not able to provide.”
Approximately 250 junior engineers and staff from the firm’s Nigeria and Uganda hubs will also be laid off. Andela says affected employees will be given a send-off financial package and the company will work with incubation hubs in Kenya, Nigeria and Uganda to help connect the affected developers with job opportunities.
“Andela is a community as much as we are a business and, as such, our immediate priority is to provide support to those potentially affected by today’s news and the means for them to find stability,” said Andela Kenya Country Director Janet Maingi. At the same time the company announced it plans to hire an additional 700 experienced engineers by the end of next year.
The layoffs come as the startup released first-time earnings figures indicating it will surpass $50 million in annual revenues for 2019. The company recently Secured $100M Series D Funding to Build Distributed Eng. Teams and Power its work
Andela trains and outsources software engineers and for the first time yesterday revealed it is projecting Sh5 billion in revenue for 2019. It is one of the best-funded startups in Africa, receiving more than Sh18 billion in venture capital funding since being founded five years ago.