Unacademy CEO’s Expensive Wardrobe and No Appraisals: A Tale of Contrasts

Unacademy CEO Gaurav Munjal made headlines recently with a surprising combination of news and style. During a virtual town hall meeting, Munjal announced that the company would be skipping employee appraisals this year. However, what caught everyone’s attention wasn’t just the unexpected announcement but also Munjal’s choice of attire: a Burberry T-shirt priced at Rs 33,500.

Reasons behind the ‘No Appraisal’ Decision

Munjal explained that the decision to halt appraisals stemmed from the company’s failure to meet its growth targets. “I think 2023 was an average year for us. But 2024, if not great, was above average. But we did not hit our growth goals,” Munjal stated during the meeting. He admitted that it was a challenging decision, adding, “It’s been tough, and that’s why I have one bad news that we won’t be able to do any appraisals this year.” Munjal further noted, “I know I said that we will do appraisals two, three weeks ago, but when we started the process, we realised that we made a mistake.”

Challenges Faced by Unacademy

The Unacademy CEO attributed the company’s performance issues to market challenges, headwinds, and declining revenue from offline centers. Despite these obstacles, Munjal assured employees that the company was not in danger of collapsing. “The good part is that the burn is extremely low now, and we have a huge runway. And I kept saying that we don’t have a survival risk.” he said. Munjal urged employees to keep in mind that Unacademy is still thriving while many competitors are struggling. “We are the ones who are still standing while our competitors are going down one by one,” he highlighted.

The Burberry T-shirt Controversy

What caught the public’s attention, however, was Munjal’s choice of attire for the announcement. The Burberry Black Parker T-shirt he wore is priced between Rs 16,000 and Rs 47,000. Social media users quickly pointed out the irony of wearing such an expensive item during a meeting about no appraisals.

Recent Layoffs and Future Outlook

This announcement follows recent layoffs at Unacademy, where 250 employees were let go as part of a restructuring effort. Despite these challenges, Munjal’s message to the remaining staff was one of resilience and optimism.

Social Media Reactions

The combination of the high-priced Burberry T-shirt and the news of no appraisals has led to a mixed reaction, with many questioning the CEO’s choice of clothing during such a significant announcement.

Some users criticized Munjal for his expensive wardrobe, while others defended his choice, arguing that he is entitled to spend his own money as he sees fit. Several users also expressed their disappointment with the decision to skip appraisals, questioning the company’s commitment to its employees.

Overall, the reactions to Unacademy’s announcement have been varied, highlighting the complex and often contradictory nature of public perception.