Nigerian food procurement startup Vendease has overhauled its salary structure from traditional to performance -based after two layoffs in five months.
The Y Combinator-backed company, which laid off 44% of its workforce—approximately 120 employees—last month in its second round of job cuts in five months, transitioned to a performance-based salary model, and replaced traditional pay with a system tied to employee performance, supplemented by an Equity Share Option Plan.
Vendease, which raised $30 million in its Series A round from investors including Partech Africa and TLcom Capital, stated that the restructuring was essential to achieving profitability, and new funding.