Layoff Events

Bizpay representing approximately 30% of its workforce on 2022-05-04.

Cameo laid off 87 employees representing approximately 25% of its workforce on 2022-05-04.

Vise laid off 25 employees on 2022-05-04.

Grocery delivery startup SEND, which operated in Australia, collapsed into voluntary administration in early May 2022. The company, founded during the COVID-19 pandemic, employed an estimated 300 staff across multiple sites in Sydney and Melbourne. Its collapse resulted in all employees being laid off, representing 100% of its workforce. Administrators cited a "sizeable cash burn" used to grow market share and unique financing challenges with international investors as key reasons for the failure. SEND had secured a $3.1 million capital raise in 2021 but ultimately could not sustain operations. The tech startup, which offered ultra-fast grocery deliveries, ceased operations entirely following the administration appointment.

In May 2022, Amazon aggregator Thrasio, a startup valued between $5 billion and $10 billion, initiated layoffs affecting a portion of its workforce. The company, which acquires and consolidates third-party Amazon sellers, simultaneously announced a leadership change, appointing former Airbnb president and Amazon executive Greg Greeley as its new CEO. These moves come after a turbulent period for Thrasio, including executive departures and delays in its planned SPAC listing, reflecting broader challenges within the aggregator business model. The layoffs underscore the company's strategic adjustments amid shifting market conditions.

Israeli grocery delivery startup Avo is laying off 500 employees, which represents two-thirds of its global workforce of 750. The layoffs, announced in May 2022, include 350 employees in Israel. This drastic reduction comes after the company failed to raise $70-100 million in funding due to shifting market conditions. Originally focused on delivering groceries to office buildings, Avo expanded to residential deliveries during the COVID-19 pandemic. However, after finding its operations in New York unprofitable and facing a post-pandemic market contraction, the company decided to return to its original business model. Consequently, it is cutting staff across operations and head office roles while seeking a buyer for its home delivery segment.

Noom, the weight loss and wellness app, is laying off a significant portion of its coaching staff as part of a strategic shift. The company is letting go of approximately 495 coaches in total, with 180 already departed and 315 more expected soon. This restructuring is due to a move from text-based chat support to a scheduled video call system, which reduces the need for a large, on-demand workforce. The layoffs come after a period of rapid growth and substantial venture funding during the pandemic. Remaining employees are expected to handle increased workloads. The company, which operates in the health tech industry, has faced criticism regarding its dietary recommendations and advertising practices even as it expanded into mental health coaching.

Domestika, a Spanish-founded online learning platform valued as a unicorn, is facing allegations of a disguised mass layoff. Affected employees claim approximately 150 workers were dismissed globally in April 2022, including at least 70 in Spain, which would represent roughly 19% of its reported global workforce of about 800. The company's CEO has disputed this scale. The layoffs, conducted remotely via phone, followed a period of extraordinary pandemic growth and a recent $110 million funding round. Thirty-three dismissed employees in Spain have united in a legal challenge, arguing the firings constitute an unlawful collective dismissal. The company operates in the edtech industry.

Netflix, the global streaming giant, laid off 25 full-time staffers and contractors from its global marketing team, which comprises over 500 employees, representing a cut of about 5%. This move occurred on Thursday, April 28, 2022, as part of a larger reorganization within the marketing department, aimed at cutting costs and simplifying structure. The layoffs specifically impacted Tudum, Netflix's fan website and marketing arm launched just months prior in December 2021. The restructuring also included executive promotions and departures. While planned before Netflix's recent subscriber loss, these changes reflect the company's ongoing adjustments in the competitive streaming industry.

In April 2022, Wahoo Fitness, a fitness technology company, laid off approximately 50 employees as part of strategic changes to support its growth and development. The layoffs occurred across various departments, including device, firmware, and the Wahoo SYSTM platform. This decision coincided with the company's acquisition of the virtual cycling platform RGT Cycling and the launch of its new integrated subscription service, Wahoo X. The move was described as necessary to maintain focus on innovation and evolving athlete needs, following a period of increased hiring during the COVID-19 pandemic's surge in demand for home fitness equipment.

Canadian embedded commerce startup Bonsai laid off 29 employees, representing about 34% of its 84-person team, on April 21. This restructuring occurred less than a month after the company secured $21 million in Series A funding. CEO Saad Siddiqui stated the layoffs were a proactive shift in operating philosophy to reallocate capital toward customer acquisition and hyper-growth, moving away from a product-building focus. The cuts, which affected product, engineering, and other departments, were attributed to discontinuing certain internal features, not market conditions. Bonsai provides white-labeled commerce tools for media publishers like BuzzFeed and Vox Media.

Robinhood, the retail brokerage firm, announced on Tuesday that it is laying off approximately 9% of its full-time workforce, affecting about 342 employees out of the 3,800 reported at the end of December. CEO Vlad Tenev cited "duplicate roles and job functions" following rapid expansion last year as the reason, stating the move aims to improve efficiency and responsiveness amid changing customer needs. The company, which rose to prominence during the 2021 GameStop frenzy, has seen its stock struggle and user numbers decline, with shares falling over 5% after the announcement. This restructuring reflects broader challenges in the fintech industry as Robinhood prepares to release its first-quarter results.

Clyde laid off 22 employees on 2022-04-25.

Sigfox laid off 64 employees on 2022-04-25.

Xiaohongshu laid off 180 employees representing approximately 9% of its workforce on 2022-04-21.

Lemonade laid off 52 employees on 2022-04-20.

In April 2022, Brazilian social commerce unicorn Facily laid off over 260 employees, representing more than 30% of its then 860-strong workforce. The cuts, particularly severe in the technology department, came less than six months after the company achieved unicorn status. This move was part of a broader reassessment of growth plans amid a troubled global economic scenario that restricted investment funds, especially for high-burn-rate startups. While Facily had previously announced expansion into Mexico, Colombia, and financial services, it cited a need for efficiency and evolution without directly commenting on the layoffs.

Loft laid off 159 employees on 2022-04-19.

QuintoAndar laid off 160 employees representing approximately 4% of its workforce on 2022-04-19.

Blend Labs, a publicly traded mortgage technology company, laid off approximately 200 employees, representing 10% of its workforce, as announced in an SEC filing. This fintech firm, which provides white-label software for major lenders, is implementing the cuts to reduce costs amid severe industry headwinds. With mortgage origination volumes expected to drop 35% in 2022 due to rising interest rates and inflation, Blend is aiming for about $35.4 million in annual savings. The layoffs, set to be completed in the second quarter, follow a significant net loss in 2021 and reflect broader challenges in the mortgage sector as refinancing activity declines.

Automox, a cybersecurity company specializing in automated endpoint management, announced a workforce reduction affecting approximately 11% of its employees. While the exact number of layoffs wasn't specified, the decision was made to evolve the business and sustain its growth more efficiently. The company expressed gratitude for the contributions of the departing staff and emphasized its ongoing commitment to customers and its platform. This restructuring reflects broader adjustments within the competitive IT and cybersecurity industry as companies optimize operations.

Halcyon Health representing approximately 100% of its workforce on 2022-04-15.

Humble, the game sales bundling and publishing platform, laid off an unspecified number of employees in April 2022 as part of a company restructuring. The job cuts specifically impacted staff in the engineering and customer service departments. The company stated the move was intended to streamline its e-commerce operations and re-invest in key growth areas to strengthen the future of the Humble Bundle business. This restructuring reflects ongoing adjustments within the digital game retail and publishing industry.

Ahead laid off 44 employees representing approximately 100% of its workforce on 2022-04-14.

Truepill on 2022-04-14.

Rad Power Bikes laid off 100 employees representing approximately 14% of its workforce on 2022-04-12.

Ecommerce unicorn Meesho, backed by SoftBank and valued at $4.9 billion, has laid off 150 full-time employees as part of a restructuring of its Meesho Superstore grocery delivery service. This move, occurring in early 2022, follows the company's massive $870 million fundraise in 2021, which included a $570 million round in September aimed at expanding the grocery business. The layoffs are attributed to scaling back after rapid pandemic-era growth and removing redundancies to boost efficiency, with the company emphasizing that its core marketplace business remains unaffected and continues to hire. Meesho, which serves millions of entrepreneurs and customers, reported significant revenue growth but also saw losses increase, prompting this adjustment to streamline operations.

Food52, a tech-focused food media and e-commerce company, laid off 10% of its staff in early April 2022 as part of a strategic pivot to strengthen its e-commerce operations. This restructuring followed an $80 million investment from the Chernin Group. While the exact number of affected employees wasn't specified, the move came despite the company reporting doubled revenue and achieving profitability in 2020. The layoffs, which left staff feeling "gut-punched," are part of a broader shift that includes recent acquisitions like Schoolhouse and Dansk, and plans to expand into physical retail with pop-up shops and brick-and-mortar stores.

Edtech startup Unacademy has laid off around 1,000 employees, including both permanent staff and contract educators, as part of a major cost-cutting initiative. This reduction, carried out over recent weeks, represents about 17% of its then 6,000-strong workforce. The layoffs, affecting roles in sales, business development, and content, stem from efforts to reduce cash burn amid a tightening funding environment and an economic slowdown. The Bengaluru-based company, valued at $3.4 billion, aims to achieve profitability by year-end while focusing on its core test-prep business and group firms.

Goodfood, a Montreal-based meal-kit and grocery-delivery company, laid off 70 employees this week, representing about 2.8% of its workforce, which now stands at 2,500. This is the third round of layoffs in six months, reducing total staff by nearly 25% since the end of its last fiscal year. The company is also closing its Ontario distribution center, consolidating operations into Quebec. Executives cited inflation, supply-chain disruptions, and labor shortages driven by the pandemic and geopolitical crises as reasons for the cuts, aiming to accelerate the path to profitability. The layoffs occurred in early April 2022, as the publicly traded company navigates challenges in the competitive food delivery industry.

Workrise laid off 450 employees on 2022-04-05.

Fast representing approximately 100% of its workforce on 2022-04-05.

BitMEX laid off 75 employees representing approximately 25% of its workforce on 2022-04-04.

Legible, a Vancouver-based ebook platform, has laid off 23 employees, representing over a third of its 60-person workforce, effective April 4. The publicly-traded company cited a need to streamline operations and reduce its annual burn rate by nearly $2 million. This move makes Legible the second publicly-listed Canadian tech firm to announce significant layoffs recently, following Thinkific. The decision comes amid a challenging capital-raising environment, marked by falling share prices and broader economic pressures like inflation and rising interest rates, which have particularly impacted unprofitable, high-growth tech companies.

Sea, the Singapore-based tech giant, conducted a significant round of layoffs affecting hundreds of employees across its e-commerce, gaming, and fintech divisions in early 2024. While exact figures were not officially disclosed, reports indicate the cuts impacted several hundred staff, representing a small percentage of its global workforce of over 30,000. The move is part of a broader effort to streamline operations and achieve sustained profitability amid challenging market conditions in the competitive internet and technology industry.

In February 2022, Berlin-based AI startup Rasa laid off 59 employees, representing about 40% of its workforce, in a single day. The company, which had gained attention as a German Silicon Valley hopeful and was the first German investment of Andreessen Horowitz, faced a critical financial situation. To prevent running out of money, Rasa implemented these mass layoffs as a necessary restructuring measure. The move reflects broader challenges in the tech startup landscape, where even promising ventures must navigate funding pressures and adjust their operational scale to ensure survival.

Gopuff laid off 450 employees representing approximately 3% of its workforce on 2022-03-29.

Vancouver-based online course platform Thinkific is laying off 100 employees, representing one-fifth of its 499-person team. The cuts, announced after the company reported a $26.4 million USD net loss last year, are part of a restructuring to increase efficiency and reduce costs. Affected roles span general administration, customer support, management, and targeted reductions in research & development and sales & marketing. This move follows a period of rapid post-IPO growth, where headcount nearly doubled since early 2021, but was accompanied by mounting losses and a significant drop in share price. The company, which went public on the Toronto Stock Exchange in April 2021, provides cloud-based software for entrepreneurs to create and sell online courses.

Bengaluru-based furniture rental startup Furlenco has laid off approximately 180 employees as part of cost-cutting measures to achieve profitability ahead of a planned IPO. The layoffs, which occurred recently, primarily impacted customer-facing roles, with around 95% of those affected working in customer support and similar functions. The company, which operates under House of Kieraya, cited a strategic shift from telephone-based to app-based orders, leading to downsizing in certain areas. Despite raising significant funding last year, Furlenco is focusing on becoming a more tech-driven and automated business to reduce losses. The startup has also temporarily halted operations in Kolkata and some other cities as it restructures.

Grove Collaborative, a sustainable personal care and home goods company, laid off approximately 17% of its corporate workforce in late March 2022. This restructuring occurred as the company prepared for its upcoming public listing via a SPAC merger, which valued it at $1.5 billion. While Grove reported a revenue increase to $383.7 million for 2021, the figure slightly missed its target. The layoffs appear to be a strategic move to streamline operations and optimize resources ahead of its transition to becoming a publicly traded entity on the New York Stock Exchange.

Swedish audiobook giant Storytel laid off 100 employees in March 2022, representing over 10% of its workforce, as part of a strategic shift. This move followed a year of losses attributed to aggressive and costly international expansion into 25 markets that underperformed. Founder and CEO Jonas Tellander had also recently stepped down. The company, which has around 2 million subscribers, is now refocusing on fewer, more mature markets like the US to improve profitability, while its strong Nordic operations continue to perform well.

Curology laid off 150 employees on 2022-03-16.

Talis Biomedical, a biotechnology company focused on diagnostic testing, conducted a significant workforce reduction in March 2022. The layoffs affected approximately 30% of its employees, which was reported to be around 60 people out of a total workforce of roughly 200. This decision was part of a strategic restructuring aimed at preserving capital and extending the company's financial runway, as it faced challenges in the competitive diagnostic market and sought to prioritize key development programs. The move reflects broader pressures in the biotech industry, particularly for smaller-scale firms navigating post-pandemic shifts.

Social commerce startup Trell is reportedly planning to lay off approximately 300 employees in March 2022, which represents about 50% of its total workforce. This significant downsizing, primarily affecting content moderation and operations teams, comes amidst a contentious review by audit firm EY into alleged financial irregularities by the co-founders, including accusations of fund misappropriation. The layoffs are part of a broader company restructuring, driven by investor concerns over cash burn and governance issues, despite Trell having raised around $62 million and achieving a valuation near $130 million. The situation highlights internal conflicts between investors and co-founders within India's competitive startup landscape.

Knock laid off 115 employees representing approximately 46% of its workforce on 2022-03-15.

Sezzle representing approximately 20% of its workforce on 2022-03-10.

Adaptive Biotechnologies laid off 100 employees representing approximately 12% of its workforce on 2022-03-08.

Hyperscience laid off 100 employees representing approximately 25% of its workforce on 2022-03-03.

WeDoctor laid off 500 employees on 2022-03-02.

Wish laid off 190 employees representing approximately 15% of its workforce on 2022-03-01.