Noida-based startup YesMadam denies firing employees over work stress amid backlash

Beauty services start-up YesMadam, facing a huge backlash over reports that it laid off employees who flagged work stress recently clarified "No one was fired", but they were just "given a break to reset".

The Noida-based platform, which offers at-home beauty and spa services put out a long statement in which it claimed it would never take such an "inhuman step".

"Our team is like family, and their dedication, hard work, and passion are the foundation of all our successes," read the post titled "No one was fired at YesMadam!"

Reports of an internal email at YesMadam sparked a controversy online. According to the email - allegedly sent by Ashu Arora Jha, HR Manager at YesMadam - the company recently surveyed to understand employees' feelings about stress at work.

Based on the results of the survey, the company took the "difficult decision to part ways with employees who indicated significant stress.", according to the email.

Anushka Dutta, going by her LinkedIn profile as a UX copywriter at the company, in a post said, "What's happening at YesMadam? First, you conduct a random survey and then fire us overnight because we're feeling stressed?"

She attached a screenshot of what was purportedly the Human Resources (HR) email. The screenshot was shared on LinkedIn by Shitiz Dogra, IndiGo's Associate Director of Digital Marketing.

However, YesMadam claimed the social media posts were a "planned effort to highlight the serious issue of workplace stress".

"The employees weren't fired. Instead, they were given a break to reset; encouraged to release their stress; offered a chance to relax; and urged to rest and recharge," the company claimed in the statement.

YesMadam also "thanked" people for voicing their strong opinions and sharing angry comments. "When people speak up, it shows they care and care is at the heart of our business," the statement reads.

The statement went on to introduce what it called a de-stress policy offering:

Six de-stress paid leaves annually to take time for mental health and rejuvenation

Complimentary spa session

The company said corporates should "make employee well-being the new norm" and called for businesses that thrive on "care, collaboration and compassion".

"We firmly believe that the backbone of any great organization is not built on stressed shoulders but on happy minds," YesMadam said in its statement.

Many internet users had raised questions about the alleged "leaked email", wondering whether it was a publicity stunt.

"Looking at Yes Madam's marketing trends this looks like a campaign. The virality of these firing posts set a good ground to launch "corporate packages for a de-stress massage" or something. Plus they're a human resource-heavy business, and eliminating 100s of employees is contradictory to their ongoing rapid scaling. Controversial Marketing at its best," a user wrote on X.

YesMadam earned prominence when it scored investments on Shark Tank India from Lenskart's Peyush Bansal, Sugar's Vineeta Singh, OYO's Ritesh Aggarwal, and boAt's Aman Gupta.