Layoff Events

Fintech startup Velocity, a revenue-based financing platform for Indian D2C and ecommerce brands, laid off approximately 14% of its workforce earlier this week, affecting around 22 employees from various departments. The company, which had a headcount of about 150-160 prior to the cuts, stated the restructuring was aimed at eliminating redundancies, automating workflows, and achieving profitability for sustainable growth. While sources suggested the layoffs could be part of a cost-cutting measure to extend the startup's runway, CEO Abhiroop Medhekar emphasized that the decision was strategic and that most of its $20 million Series A funding from 2021 remains unused. Velocity, backed by Valar Ventures and other investors, reported a significant increase in net loss to INR 7.9 crore in FY22 despite growing revenue.

Sage Therapeutics copy laid off 290 employees on 2023-09-15.

R3 representing approximately 20% of its workforce on 2023-09-14.

Project44 laid off 116 employees on 2023-09-14.

Airtable laid off 237 employees representing approximately 27% of its workforce on 2023-09-14.

VideoAmp laid off 40 employees representing approximately 10% of its workforce on 2023-09-14.

Akili Labs representing approximately 40% of its workforce on 2023-09-13.

Google is conducting a new round of layoffs in the Bay Area, planning to eliminate dozens of positions. This move, revealed in late October 2023, is part of the tech giant's ongoing efforts to streamline operations and manage costs. While the exact number of affected employees is not specified as a precise figure or percentage of its total global workforce, the cuts are described as impacting multiple dozens of workers. As a leading company in the technology industry, Google continues to adjust its staffing in response to broader economic conditions and strategic priorities.

Denver-based vacation rental property manager Evolve is laying off approximately 175 employees, representing 20% of its workforce, as announced in a letter from co-founder and CEO Brian Egan. This marks the company's second major round of cuts in 2024, following a 14% reduction (164 employees) in May, which was attributed to a market oversupply leading to lower rates and revenue. The latest layoffs, reported in late 2024, are part of a strategic effort to scrutinize all costs, including both payroll and non-payroll expenses, to transform the company into a highly profitable enterprise. The decision reflects a shift from the defensive, volume-driven cuts in May to a more proactive restructuring, with elements of the layoffs linked to offshoring support and AI-induced efficiencies.

German real estate startup Homeday, facing a severe market downturn, has been fully acquired by media conglomerate Axel Springer. As part of this takeover and a strategic refocusing, the company is cutting one-fifth of its workforce. The exact number of layoffs is not specified, but this significant reduction coincides with the departure of all three founders. The move, confirmed in September 2023, is a direct response to the crisis in the property sector, where high inflation, rising interest rates, and sustained high prices have drastically reduced buyer activity and transaction volumes, crippling Homeday's commission-based business model.

Cyber insurance unicorn At-Bay has laid off 27 employees, representing almost 10% of its total workforce of 305 people. The company, which achieved a $1.35 billion valuation in 2021, stated the layoffs in September 2023 were a structural adjustment to ensure long-term success, primarily affecting support roles like recruitment. At-Bay, operating in the insurtech and cybersecurity industry, combines insurance policies with active security services to reduce client risk. Despite the cuts, the company emphasized its financial strength and commitment to future growth.

Paper, an educational technology company, laid off 87 employees, representing roughly 4% of its total workforce, on September 12, 2023. The layoffs affected corporate non-tutor roles as part of a restructuring effort aimed at achieving profitability by early 2024. The company cited the need to focus its business, prepare for the future, and adapt to shifts in school funding following the end of COVID-era support, emphasizing the importance of financial health to ensure long-term viability and continued service to students.

Oyster on 2023-09-11.

In September 2023, Bonterra, a technology company serving progressive and Democratic causes, implemented layoffs as part of a broader reorganization. The cuts notably affected NGP VAN, a key subsidiary, with reports indicating that approximately 50% of developers at ActionKit, an online fundraising and volunteer CRM platform, were let go. The exact total number of employees laid off and the company's overall workforce size were not officially disclosed. The layoffs, occurring under the ownership of private equity firm Apax Partners, sparked concern within the political tech industry that essential digital infrastructure for the 2024 election cycle could stagnate. Critics argued the move jeopardized core platforms relied upon by hundreds of progressive candidates and organizations.

Chargebee, a Chennai-based SaaS unicorn in the fintech industry, has laid off approximately 10% of its global workforce, affecting 100 to 120 employees. This marks the company's second round of layoffs within ten months, following a similar reduction of 142 employees in November 2022. CEO Krish Subramanian attributed the decision to "market shifts" and the need to focus on fewer priorities for efficient growth, emphasizing customer experience and core products. The company, valued at $3.5 billion and backed by investors like Tiger Global, will provide severance packages according to local labor laws. These layoffs reflect broader challenges in the Indian startup ecosystem, where over 28,000 employees have been let off since 2022 due to strained funding and a shift toward profitability amid economic uncertainties.

Grabango laid off 34 employees representing approximately 40% of its workforce on 2023-09-11.

Divvy Homes, a fintech startup in the real estate tech industry, laid off 94 employees in September 2023, marking its third round of job cuts within a year. This reduction affected nearly half of the company's workforce, which was estimated to be just under 200 employees prior to the layoffs, representing a cut of about 50%. The terminations, effective November 7, impacted various roles including vice presidents and engineers across the U.S. The company, once valued at $2 billion with backing from investors like Andreessen Horowitz and Tiger Global, attributed the layoffs to challenging macroeconomic conditions, high interest rates that disrupted its business model, and the need to conserve cash. This follows earlier layoffs in February and September 2022, reflecting ongoing struggles in the high-interest-rate environment.

Estonian tax and customs technology startup Eurora Solutions laid off 111 employees globally in September 2023, including 80 in Estonia, as part of a restructuring effort to reduce costs and achieve profitability by the following year. The layoffs followed a summer period where the company accrued a significant tax debt of 240,000 euros, which management attributed to clients' extended summer payment terms. This workforce reduction aimed to sharpen the company's focus and streamline operations within the competitive fintech and logistics technology industry.

Mollie on 2023-09-11.

ChargePoint, a leading electric vehicle charging network company, announced in September 2023 that it is restructuring and will lay off 10% of its global workforce. This decision, part of a broader reorganization, aims to achieve annual operating expense savings of approximately $30 million. The layoffs were disclosed alongside the company's second-quarter earnings report, which revealed adjusted EPS and revenue figures that fell short of Wall Street estimates. The disappointing financial performance and a revenue outlook below analyst expectations for the full year contributed to the cost-cutting measures. The company expects to incur about $8 million in charges related to the reorganization, primarily in the third quarter of 2023.

In September 2023, market intelligence firm Sensor Tower, which provides data for the app economy, laid off an estimated 40 employees, representing roughly 15% of its 270+ workforce. The layoffs, part of a corporate reorganization to "right-size" the business, notably included several C-suite executives such as the CFO and CMO, and impacted departments like finance and nearly all of marketing. The company, which had grown significantly after a $45 million investment in 2020 and the acquisition of Pathmatics in 2021, stated the move was to position itself for continued growth and profitability.

Drift laid off 100 employees representing approximately 25% of its workforce on 2023-09-07.

Hijra, a fintech company in Indonesia, laid off a significant portion of its workforce in early 2023, affecting dozens of employees. The layoffs were part of a broader restructuring effort to streamline operations and extend the company's financial runway amid challenging global economic conditions for the tech sector. This reduction impacted various teams within the organization as the company adjusted its strategy to focus on sustainable growth.

Blue Origin on 2023-09-06.

iSpecimen, a Lexington, Massachusetts-based company in the healthcare and life sciences sector, announced on Wednesday that it has laid off approximately 20% of its workforce effective immediately. This workforce reduction is part of a strategic effort to cut costs and drive profitability amid financial challenges, as reflected in the company's stock, which has declined nearly 53% year-to-date. The layoffs, impacting a significant portion of its employees, underscore the company's focus on streamlining operations to navigate current market conditions.

Streaming platform Roku is laying off 10% of its workforce, affecting approximately 360 employees, as part of a significant cost-cutting initiative announced in late 2023. This marks the company's third round of layoffs within a year, following cuts of 200 workers each in March and November. With a total workforce of around 3,600, the move aims to reduce operating expense growth. Alongside the layoffs, Roku is consolidating office space, slowing hiring, and reviewing its content portfolio, incurring substantial restructuring charges. Concurrently, the company raised its third-quarter revenue and EBITDA guidance, signaling a strategic shift toward improving profitability after a period of heavy investment.

Forescout, an Israeli-founded cybersecurity company, is shutting down its Israel R&D center and laying off its remaining 40 employees in the country as of September 2023. This follows previous layoffs of 100 employees globally in October 2022 and another 100 in Israel in January 2023. The company, which employs over 1,000 people worldwide, has been undergoing restructuring since its $1.4 billion acquisition by private equity firm Advent International in 2020. The closure marks the end of its local operations, which expanded with the acquisition of Israeli startup CyberMDX in 2022.

Roku conducted layoffs and removed streaming content as part of cost-cutting measures, marking another round of workforce reductions.

Absci laid off 30 employees representing approximately 15% of its workforce on 2023-09-05.

MaxMilhas, part of the 123 Milhas group, has laid off 82 employees, representing 18% of its workforce. The layoffs occurred on Monday, September 4, 2023, following the non-renewal of some probationary contracts the previous Friday. The company cited market challenges and the need to discontinue medium and long-term projects as reasons for the cuts. This cost-containment measure follows a crisis at its sister company, 123 Milhas, which also underwent mass layoffs. Operating in the travel and mileage industry in Brazil, MaxMilhas merged with 123 Milhas earlier in 2023, forming one of the sector's largest players. The company stated it is offering support for the affected employees' reemployment.

Hodinkee laid off 24 employees representing approximately 20% of its workforce on 2023-09-05.

Xolo laid off 24 employees on 2023-09-04.

In September 2023, Ghanaian healthtech startup mPharma laid off approximately 150 employees, including 40 in Nigeria, citing tightening macroeconomic conditions and the devaluation of the Nigerian Naira. The company, which operates across nine African countries and has raised $90 million in funding, made this difficult decision to "right-size" its team as it refocuses on its core Mutti online pharmacy product. Severance packages were provided, with extended health insurance and stock option exercise periods for affected staff. This move aims to streamline operations to continue serving over 200,000 monthly patients through Mutti, amidst broader economic challenges.

AI computer vision startup Nexar laid off 17 employees on September 4, 2023, representing 14% of its 120-person workforce. This marks the company's third round of layoffs in ten months, following cuts in November 2022 and July 2023, cumulatively reducing headcount by over 30%. Nexar, which provides AI-powered visual data and digital twins of road networks, had raised a $53 million Series D in late 2021. The layoffs reflect broader challenges in the tech sector, as the company adjusts its operations amid market pressures.

Roku, a TV streaming hardware and software company, announced layoffs affecting approximately 10% of its workforce, which translates to more than 300 employees, as part of efforts to reduce operating expenses that have been growing rapidly. The company, which had around 3,600 full-time employees at the end of 2022, is also consolidating office space, reviewing its content portfolio, and limiting new hires. This follows a previous round of layoffs in March 2023, where about 200 employees were let go. Roku expects to incur significant costs related to severance and impairment charges due to these changes, with its revenue primarily driven by advertising from its platform, including The Roku Channel, despite reporting a net loss in the second quarter of 2023.

Khatabook, a Peak XV-backed bookkeeping and lending platform, laid off over 40 employees in early September 2023 as part of a restructuring effort to cut costs and extend its financial runway. The company confirmed that 42 staff members, representing 6% of its 700-strong workforce across sales, marketing, analytics, and technology departments, were affected. This move aligns with Khatabook's focus on profitability and streamlining operations toward its core business areas, following earlier steps like shutting down its MyStore e-commerce product in 2021. The impacted employees received severance packages including three months' salary.

Gated, an email management startup, is shutting down at the end of September, resulting in layoffs for its entire team. The company, which had helped filter half a billion emails and raised funds for charity, cited a smaller-than-expected market for its inbox focus tools as the reason for closure. While the exact number of employees affected wasn't disclosed, the shutdown implies a 100% reduction. Operating in the SaaS/email productivity industry, Gated will open-source its code and assist users in migrating their data before closing.

Clearcover representing approximately 28% of its workforce on 2023-09-01.

Zomato, the Indian foodtech giant, has initiated the liquidation of its Czech Republic-based subsidiary, Lunchtime, as of September 1, 2023. The subsidiary, Lunchtime.cz, was non-operational with no active business and contributed zero to Zomato's net worth, valued at approximately INR 28.2 lakhs. This move is part of Zomato's broader strategy to shutter underperforming international subsidiaries and focus on its core markets in India and the UAE. The company has been closing similar non-operational units in countries like Indonesia, Portugal, Jordan, and the Philippines this year, aiming to streamline operations and improve profitability.

Pegasystems laid off 240 employees representing approximately 4% of its workforce on 2023-08-31.

Cybersecurity firm Malwarebytes laid off approximately 100 to 110 employees globally in late August 2023 as part of a major strategic reorganization. The layoffs, which primarily affected corporate staff, were implemented to rationalize expenditures ahead of a planned split of the company into two separate business units: one focused on consumer tools like identity protection and VPN, and the other on enterprise-facing software. This move follows a previous round of layoffs a year earlier and comes after the departure of several top executives. CEO Marcin Kleczynski confirmed the restructuring but denied any plans to sell parts of the business, stating that Malwarebytes remains healthy and profitable.

In August 2023, AI-driven digital health firm Biofourmis laid off 120 employees globally, including 48 in the U.S., as part of a strategic shift to accelerate growth in the US market. This workforce reduction, primarily affecting operational and administrative roles, occurred roughly a year after the Boston-based company achieved unicorn status with a $1.3 billion valuation. Merely a month following these layoffs, co-founder and CEO Kuldeep Singh Rajput abruptly resigned. The company has since established an interim "Office of the CEO" overseen by new board member Ben Wanamaker while it searches for a permanent chief executive.

Expedia on 2023-08-31.

SkyKick laid off 140 employees on 2023-08-30.

Shiprocket-owned retail SaaS platform Omuni laid off approximately 60-70 employees, representing nearly 35% of its workforce, in a restructuring exercise during the second week of August. The layoffs affected teams across tech, product, sales, and talent acquisition. Concurrently, Omuni's CEO and cofounder Mukul Bafna and CTO Sumeet Chandhok are exiting the company, with leadership transitioning to Vivek Kalra of Glaucus. Shiprocket, which acquired Omuni in July 2023 for INR 200 crore, stated the move is part of organizational consolidation to integrate teams and enhance synergies across its ecommerce enablement platform. The affected employees are receiving two months' salary as severance.

UK digital health startup Huma is laying off approximately 45 employees, representing nearly 10% of its global workforce of over 500. The layoffs, announced internally on August 8, 2023, are a response to a slowdown in revenue growth and a challenging fundraising environment. The company cited that clients and partners are reducing investments in new technology, prompting Huma to cut costs and focus on achieving profitability. Despite these cuts, Huma continues its M&A strategy, having recently raised funds and acquired companies to expand its remote patient monitoring platform in the competitive healthtech industry.

Kenko Health laid off 50 employees representing approximately 20% of its workforce on 2023-08-30.

San Francisco-based software startup Zeplin has laid off 37 employees, representing about 35% of its workforce, in late August 2023. The company, which builds collaboration tools for designers and engineers, cited a challenging fundraising environment and increasing competition from rivals like Figma as key reasons for the cuts. The layoffs, announced during an all-hands meeting, particularly affected the sales and marketing teams, with reductions also in design, product, support, and HR. Founded in 2014 and a Y Combinator alum, Zeplin joins many tech firms resorting to workforce reductions to navigate post-pandemic economic pressures and customer attrition.

123Milhas on 2023-08-29.

Healthtech startup Kenko Health laid off approximately 20% of its workforce, affecting an estimated 50-60 employees across various functions, as reported in late August 2023. The layoffs occurred over the preceding weeks and were attributed to challenges in securing a Series B funding round, despite having raised $12 million in a Series A round the previous year. Operating in the healthtech industry, the three-year-old company offers subscription-based health expense coverage and corporate healthcare plans, boasting over 220,000 subscribers. This move reflects broader trends where growth-stage startups, even after raising significant capital, are restructuring due to funding pressures.