OYO Faces Rising Turmoil: Layoffs, Legal Troubles, and Hotelier Backlash

OYO Faces Rising Turmoil: Layoffs, Legal Troubles, and Hotelier Backlash

By Nishang Narayan

Published on December 26, 2024

The troubles for OYO, one of India’s most prominent unicorn startups, continue to escalate. According to an Economic Times report, the company plans to lay off 2,000 employees by the end of January as part of its cost-cutting measures, which also include automation of processes. While OYO touts itself as one of the “best places to work,” the planned layoffs come amidst mounting internal and external challenges.

An OYO spokesperson stated, “OYO continuously tracks performances of individuals, and depending on the results and the individual’s interests, we may replace some candidates after giving them the opportunity to go through a performance improvement programme.” However, layoffs are just one part of the growing crisis the company faces.

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Backlash from Hotel Owners

OYO’s problems extend beyond its workforce. The startup is under fire from hotel owners across various markets for unpaid dues and unfavorable contract terms. In India, the dissatisfaction has even led to legal action. Recently, a Bengaluru hotelier filed a cheating case against OYO founder Ritesh Agarwal and six others, alleging non-payment of INR 7 lakh per month since May 2019.

Globally, similar issues persist. In the United States, hotel owners have raised concerns about OYO’s partner management system, citing its inefficiency and failure to meet payment commitments. In Japan, Yahoo terminated its partnership with OYO due to increasing complaints from hotel owners. Even in China, where OYO claims to be one of the largest hotel chains, property owners report receiving lower payments than initially promised.

Regulatory Scrutiny

Adding to its woes, OYO is also under investigation by the Competition Commission of India (CCI). The probe focuses on a commercial agreement between OYO and MakeMyTrip, examining whether the partnership creates an unfair dominant position in the market.

Global Troubles Continue

The startup’s ambitious expansion into the US market has not been smooth, with several hotel owners expressing dissatisfaction with OYO’s operations. The issues of unpaid dues and operational inefficiencies seem to mirror the problems reported in other markets.

Despite these challenges, OYO continues to assert its commitment to growth and operational excellence. However, the growing dissent from hotel owners, legal battles, and regulatory scrutiny highlight a critical need for the company to address its operational inefficiencies and rebuild trust with its partners.

With these mounting issues, the road ahead for OYO appears increasingly complex. Will the unicorn be able to navigate these turbulent waters, or is its ambitious expansion strategy taking a toll on its foundational stability?


Eight Continents Hotels & Resorts Launches Legacy Hotels to Redefine Regal Luxury

Eight Continents Hotels & Resorts Launches Legacy Hotels to Redefine Regal Luxury

By Manu Vardhan Kannan

Published on May 22, 2025

Eight Continents Hotels & Resorts has officially launched its ultra-luxury brand, Legacy Hotels, at The Great India Travel Bazaar 2025. This new vertical aims to redefine aristocratic hospitality by converting royal residences into world-class palace stays for discerning travellers.

Legacy Hotels is a tribute to India’s regal past, combining noble traditions, timeless architecture, and modern sophistication. The brand is built on five key pillars: regal legacy, timeless luxury, architectural grandeur, personalized hospitality, and cultural immersion. Together, these create an unforgettable and immersive experience for guests.

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Each Legacy Hotel is an original royal residence that has been carefully restored and transformed into a luxury sanctuary. Guests enjoy grand ceremonial arrivals, personal butler services, and curated experiences like private palace dinners, horseback safaris, and barge cruises. Dining is inspired by ancient royal kitchens, while wellness offerings merge traditional therapies with modern spa rituals for a unique blend of indulgence and heritage.

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Haninder Sachdeva, CEO of Eight Continents Hotels & Resorts, said, “Legacy is a soulful tribute to the art of noble living. In an age where speed and uniformity dominate, Legacy offers a rare and deeply enriching experience. These are not hotels, but sanctuaries of history, storytelling, and soul.”

Designed for high-net-worth individuals, royalty enthusiasts, destination wedding travellers, and the global elite, Legacy Hotels promises an experience where royalty is not only remembered but lived.

With its launch at a major travel platform in Asia, Eight Continents has set a new global benchmark in heritage hospitality. The first Legacy Hotels will soon open across India, the Middle East, and Europe, inviting guests worldwide to experience grandeur and elegance.


ALIVAA Hotels & Resorts Adds Jawai Palash to Its Expanding Luxury Portfolio

ALIVAA Hotels & Resorts Adds Jawai Palash to Its Expanding Luxury Portfolio

By Manu Vardhan Kannan

Published on May 21, 2025

ALIVAA Hotels & Resorts has announced the addition of Jawai Palash, a serene and luxurious property located in Jawai, Rajasthan, to its growing collection. This marks the ninth signing under the ALIVAA and HOFTEN brands, strengthening the group’s footprint across India’s hospitality landscape.

This partnership reflects ALIVAA’s continued dedication to strategic growth and delivering uniquely Indian, high-quality experiences in captivating locations. The signing was made in collaboration with CIN Digital Mar-tech Company, further amplifying the brand's focus on integrated and forward-thinking hospitality solutions.

Parvinder Singh, Founder of CIN Digital, shared his excitement about this venture:

“Jawai presents an extraordinary fusion of rich heritage, authentic culture, and untouched wilderness, inviting travellers to discover the true spirit of Rajasthan beyond the well-trodden tourist paths. We are very excited to partner with ALIVAA Hotels & Resorts to participate in their vision of showcasing India’s hidden treasures to a wider audience.”

Echoing the enthusiasm, Akash Bhatia, CEO of ALIVAA Hotels & Resorts (Managed & Franchise Business), stated:

“Jawai is truly a hidden gem within Rajasthan, and we are delighted to present a sanctuary that embodies its natural splendour while providing world-class hospitality. Our partnership with Jawai Palash enables us to craft an environment where guests can effortlessly reconnect with nature without sacrificing any element of luxury.”

Founded by Vikramjit Singh, former President of Lemon Tree Hotels, along with Inderpal Batra, ALIVAA Hotels & Resorts has set its sights on reaching 50 hotels within five years. Speaking on the addition of Jawai Palash, Vikramjit Singh said:

“Our team is wholeheartedly committed to delivering outstanding service and crafting truly memorable moments for our guests. From the tastefully crafted rooms that reflect the timelessness of Rajasthan, to gourmet dining experiences and exclusive wildlife excursions—every facet of Jawai Palash has been meticulously designed to surpass expectations.”

The inclusion of Jawai Palash represents a significant milestone in ALIVAA’s mission to offer premium hospitality experiences that celebrate India’s diverse cultural and natural heritage. Guests can look forward to a stay that combines adventure, elegance, and a true sense of place, set in one of Rajasthan’s most picturesque destinations.


Padmaa, Jaipur’s 18th-Century Haveli, Reopens as a Boutique Luxury Hotel

Padmaa, Jaipur’s 18th-Century Haveli, Reopens as a Boutique Luxury Hotel

By Nishang Narayan

Published on May 20, 2025

Padmaa, Jaipur, an 18th-century haveli tucked away in the city’s walled quarters, has officially opened its doors as an all-suite luxury boutique hotel. Located on Chaura Rasta, one of Jaipur’s oldest and most vibrant streets, Padmaa stands along a historic route once used for royal processions and elephant marches. Today, it offers travellers a peaceful retreat and a unique glimpse into the forgotten slice of old Jaipur.

Originally a four-room family home, Padmaa evolved over seven generations of the Shah family, who have now lovingly restored the haveli into a heritage haven, rich in nostalgia and elegance. The property is named after Shrimati Padmaa Devi Shah, the family’s matriarch whose strength and grace continue to inspire the space. The Shah family, also the custodians of Umrao Jewels, led the transformation with deep respect for their roots.

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“At Padmaa, we want every guest to feel the comfort of staying at a loved one’s home rather than a hotel,” said Jaiveer Singh Rathore, Head of Operations. “From flexible dining to personalised service, our team is empowered to respond instantly to guest needs, creating a warm, seamless experience.”

The architectural revival was spearheaded by Gagan Sharma, a celebrated name in heritage conservation, while the interiors were curated by Vaishnavi Bazaz of Studio Navee. Together, they have blended traditional craftsmanship with modern luxury, using soft palettes, heirloom accents, and delicate detailing that preserve the soul of the haveli. Some parts of the original structure were intentionally left untouched — such as the grand wooden entrance door and carved jharokhas — to honour the passage of time.

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Padmaa offers 15 thoughtfully designed suites, each telling its own story while ensuring modern comfort. Guests can enjoy a host of immersive experiences, from artisan-led craft sessions to curated heritage walks, designed to connect them with Jaipur’s rich cultural landscape.

The haveli features an in-house restaurant serving global cuisine alongside treasured Rajasthani recipes, and two distinctive bars — one set within the courtyard, and another atop the open terrace offering panoramic views of Jaipur’s skyline. A rooftop plunge pool, tranquil in-house spa, sun-drenched terraces, and quiet corners invite guests to slow down and unwind.

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More than just a stay, Padmaa is a celebration of legacy, culture, and heartfelt hospitality — a home transformed into a heritage retreat, where luxury feels like belonging.

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