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.

image

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?


Clarion Hotel Khayal Kochi Wins Indian Hotel of the Year Award

Clarion Hotel Khayal Kochi Wins Indian Hotel of the Year Award

By Hariharan U

Published on May 14, 2026

Clarion Hotel Khayal Kochi has earned a major international recognition after being awarded the Indian Hotel of the Year by Choice Hotels. The honour was presented during an event held in Las Vegas on 6 May 2026.

The achievement marks an important milestone for the property as well as the SUBA Group of Hotels, under which the hotel operates. The recognition highlights the hotel’s consistent focus on guest experience, hospitality standards, and operational excellence.

Presented under the “Best of Choice” platform, the award celebrates standout properties within the Choice Hotels network that have demonstrated exceptional performance and service quality.

The recognition places Clarion Hotel Khayal Kochi among the top-performing hospitality destinations representing India on a global stage, further strengthening its presence within the international hospitality industry.


Eight Continents Hotels & Resorts Expands Himachal Presence with RoyalPine Kasauli Launch

Eight Continents Hotels & Resorts Expands Himachal Presence with RoyalPine Kasauli Launch

By Hariharan U

Published on May 14, 2026

Eight Continents Hotels & Resorts has announced the launch of Treetop by Eight Continents - RoyalPine Kasauli, marking a significant expansion of the group’s presence in Himachal Pradesh and strengthening its portfolio of design-led experiential hospitality destinations in India.

The UK-based luxury hospitality and hotel management group, known for its focus on emotique hotels, continues its strategy of developing immersive, culturally rooted, and experience-driven stays across high-potential leisure markets.

Nestled amidst the hills of Kasauli, the 44-key property has been designed to offer uninterrupted valley views and sunset-facing experiences, with architecture that blends contemporary aesthetics with natural materials. Built along a natural gradient, every room has been positioned to maximise scenic vistas and create a strong connection with the surrounding landscape.

A key design highlight of the property is the use of knotless pine wood sourced from Finland, bringing warmth and a nature-inspired character to the overall guest experience.

The property features a range of lifestyle and wellness offerings including 8 Cafe and a restaurant and microbrewery concept, along with a sunset deck, dedicated gathering spaces, a spa, steam and sauna facilities, an infinity pool, and a 10-seater jacuzzi. The development reflects the growing consumer demand for boutique hospitality experiences that combine wellness, design, and destination-driven travel.

Speaking on the launch, Richa Adhia, Managing Director of Eight Continents Hotels & Resorts, said the addition of RoyalPine Kasauli aligns with the group’s broader strategy of building experience-led destinations in key leisure markets. She noted that Kasauli’s natural beauty and heritage charm make it an ideal setting for immersive hospitality experiences tailored to modern travellers seeking meaningful and design-focused stays.

Founded in 2020 by Haninder Sachdeva, Eight Continents Hotels & Resorts operates across India, the UK, and East Africa. Its hospitality portfolio includes brands such as Ocho Homes, Hanric, Treetop, and Stamps, all centred around boutique luxury, local storytelling, and experiential travel.

The launch of RoyalPine Kasauli comes at a time when India’s boutique hospitality segment continues to witness strong momentum, particularly in leisure and mountain destinations where travellers are increasingly prioritising personalised experiences, wellness, and destination authenticity over traditional hotel formats.

For more information, visit Eight Continents Hotels & Resorts


The Westin Pushkar Resort & Spa Redefines Luxury Destination Weddings in Rajasthan

The Westin Pushkar Resort & Spa Redefines Luxury Destination Weddings in Rajasthan

By Manu Vardhan Kannan

Published on May 12, 2026

The Westin Pushkar Resort & Spa is emerging as a sought-after destination for luxury weddings in Rajasthan, bringing together scenic landscapes, elegant venues, curated experiences, and premium hospitality under one roof.

Located amidst the peaceful surroundings of Pushkar and close to the town’s spiritual landmarks, the resort offers panoramic 360-degree views of the Aravalli Hills along with stunning sunset backdrops, creating a memorable setting for wedding celebrations.

The property features four outdoor and two indoor venues designed to host multi-day wedding festivities with ease. One of the standout spaces at the resort is its dome-shaped venue inspired by the Shiv Ling, offering a unique setting for sacred pheras. The expansive lawns and smooth baraat processions within the property further add to the grand wedding experience while ensuring convenience for guests.

The resort houses more than 98 rooms and private villas, including pool villas and plunge pool villas, making it ideal for exclusive wedding buyouts. The spacious accommodation setup allows families and guests to celebrate together in privacy and comfort throughout the festivities.

Adding to the experience are the resort’s wellness and leisure offerings, including its premium spa, multiple swimming pools, and the Westin WORKOUT Fitness Studio. Guests can also enjoy a range of indoor and outdoor recreational activities designed for all age groups.

On the culinary front, the resort offers diverse dining experiences ranging from global cuisine at Seasonal Tastes to rooftop dining with panoramic views at Panorama. The hotel also provides customised wedding menus curated to match the style and preferences of each celebration.

Speaking about the wedding experience at the resort, Vijay Chandran, General Manager, said, “Weddings today are about creating immersive, meaningful experiences, and at The Westin Pushkar Resort & Spa, we bring together nature, luxury, and thoughtful service to make every celebration truly personal and memorable. Our aim is to offer couples and their families a seamless, all-in-one destination where every detail is taken care of.”

Combining luxury accommodation, elegant venues, wellness experiences, and personalised hospitality, The Westin Pushkar Resort & Spa continues to position itself as a refined destination for unforgettable weddings in Rajasthan.

Stay up-to-date with the latest Hospitality news and trends in the Hospitality industry!

Subscribe to Hospitality news e-magazine for free and never miss an issue.

By clicking subscribe for free you agree to the Terms & Conditions and acknowledge our Privacy Policy.

Advertise With Us

We have various options to advertise with us including Events, Advertorials, Banners, Mailers, etc.