Layoff Events

Rock Content laid off 100 employees representing approximately 20% of its workforce on 2020-04-06.

WordStream, a company focused on helping small businesses with marketing, made the difficult decision to eliminate multiple roles across all teams earlier this week. While the exact number of employees laid off was not specified, the move was a direct response to the severe impact of COVID-19 on small businesses, which form WordStream's core customer base. The company acknowledged the significant contributions of the affected teammates to its culture and success, emphasizing that its purpose and core values would guide it through this challenging period. This layoff reflects the broader economic strain the pandemic placed on the marketing technology industry in early 2020.

Astra, a San Francisco-area rocket startup in the aerospace industry, reduced its workforce last month, cutting overall headcount from about 150 to roughly 120 employees—a reduction of approximately 20%. This move involved a mix of furloughs and a few permanent layoffs, primarily to conserve cash amid delays caused by the coronavirus pandemic. The company, which has raised around $100 million from investors, now expects its funds to last only until the first quarter of the next year. Compounding its challenges, Astra recently suffered a significant setback when a fire during testing in Alaska destroyed one of its rockets, delaying further launch attempts for months. The pandemic has also strained its customer contracts, with about half looking to renegotiate or withdraw.

In April 2020, Southeast Asian streaming service iFlix laid off more than 50 employees, representing over 10% of its estimated workforce of 420. The Malaysia-based startup, which operates in 13 territories and rivals Netflix, cited the unprecedented challenges of the COVID-19 pandemic as the reason. Despite a surge in viewership, with monthly active users up 42% to 21 million, the company faced a severe advertising budget crunch and halted new content production. This move, part of broader cost-cutting measures, aimed to help the loss-making firm navigate economic uncertainty and stay on track toward breakeven, though its planned IPO for the year became unlikely. The layoffs occurred shortly after rival Hooq filed for bankruptcy, highlighting the sector's strain even during a streaming boom.

Salsify laid off 60 employees representing approximately 13% of its workforce on 2020-04-03.

Zoox laid off 120 employees on 2020-04-03.

D2iQ laid off 34 employees representing approximately 13% of its workforce on 2020-04-03.

MaxMilhas laid off 167 employees representing approximately 42% of its workforce on 2020-04-03.

Sojern, an advertising technology company serving the travel industry, has laid off approximately half of its workforce, affecting around 300 employees out of a total of about 600. This drastic reduction of 50% was necessitated by severe financial instability directly caused by the COVID-19 pandemic, which decimated global travel and, consequently, the company's core business. The layoffs occurred in 2020 as the company sought to weather the unprecedented crisis impacting the entire travel sector.

The Wing representing approximately 50% of its workforce on 2020-04-03.

Velodyne Lidar laid off 140 employees on 2020-04-03.

Gympass laid off 467 employees representing approximately 33% of its workforce on 2020-04-03.

Minted laid off 147 employees representing approximately 37% of its workforce on 2020-04-03.

Traveloka laid off 100 employees representing approximately 10% of its workforce on 2020-04-03.

DSCO laid off 12 employees on 2020-04-03.

Avantage Entertainment laid off 5 employees representing approximately 20% of its workforce on 2020-04-03.

Bustle Digital Group laid off 24 employees representing approximately 8% of its workforce on 2020-04-03.

Arrive Logistics laid off 75 employees representing approximately 7% of its workforce on 2020-04-03.

Jetty laid off 35 employees representing approximately 40% of its workforce on 2020-04-03.

Tripbam laid off 10 employees representing approximately 25% of its workforce on 2020-04-03.

Opencare laid off 18 employees representing approximately 25% of its workforce on 2020-04-03.

In April 2020, Modsy, an e-commerce startup specializing in 3D room visualizations for home design, confirmed a round of layoffs amid the economic uncertainty of the COVID-19 pandemic. The company declined to specify the exact number of employees affected, but reports suggested significant cuts, with executives including CEO Shanna Tellerman taking a 25% pay cut. Modsy, which had raised $70.8 million in venture capital, cited the need to maintain a sustainable business during unprecedented circumstances. The layoffs reflect broader challenges in the e-commerce and home improvement sectors, as consumer spending shifted away from discretionary purchases like furniture.

SynergySuite, a SaaS company providing solutions for the restaurant industry, laid off 5 employees due to the economic impact of COVID-19 on its restaurant client base. The layoffs occurred in early 2020, as confirmed by a company executive in a LinkedIn post expressing regret over parting ways with colleagues. The post indicates the cuts were a direct response to the pandemic's strain on the hospitality sector, though the total number of employees and the exact percentage affected were not disclosed. This event reflects the broader challenges faced by tech companies, particularly those serving hard-hit industries, during the initial phase of the global health crisis.

Atlanta Tech Village representing approximately 50% of its workforce on 2020-04-02.

Instamojo laid off 6 employees representing approximately 6% of its workforce on 2020-04-02.

Humu laid off 26 employees on 2020-04-02.

The Modist representing approximately 100% of its workforce on 2020-04-02.

1stdibs, an online luxury marketplace for vintage and antique goods, laid off approximately 22 employees, representing about 13% of its workforce, in January 2023. The layoffs were part of a broader restructuring effort to streamline operations and reduce costs amid challenging economic conditions affecting the e-commerce and luxury retail sectors. The company, which had scaled significantly prior to going public, took this step to prioritize profitability and extend its financial runway.

ClassPass laid off 154 employees representing approximately 22% of its workforce on 2020-04-02.

MindBody laid off 700 employees representing approximately 35% of its workforce on 2020-04-02.

Wonder on 2020-04-02.

In April 2020, amidst the COVID-19 pandemic, Munich-based fitness equipment manufacturer eGym laid off a significant portion of its workforce. The layoffs, executed via video calls, were criticized by an anonymous employee as "inhuman," alleging the company used the crisis as a pretext for mass terminations despite ongoing revenue. eGym justified the drastic action as a necessary response to the unprecedented economic impact of the pandemic, stating it aimed to secure remaining jobs and focus on customer service and operational excellence. The layoffs affected employees with families and health concerns, sparking controversy during a period when many Bavarian companies were opting for short-time work instead.

ThirdLove, a direct-to-consumer lingerie startup known for challenging Victoria's Secret, laid off 65 employees, representing nearly 30% of its workforce, in early April 2020. The cuts were a response to the severe impact of the coronavirus pandemic, which significantly reduced consumer spending and disrupted retail operations. Affecting teams across logistics, recruiting, design, and marketing at its San Francisco headquarters, the layoffs followed earlier reductions, including the closure of a New York pop-up store. The company cited the need to ensure long-term stability amid unprecedented challenges in the DTC sector.

Coding Dojo laid off 7 employees representing approximately 7% of its workforce on 2020-04-02.

Flexible office space provider Industrious laid off 90 employees in early April 2020, representing approximately 20 percent of its total workforce, with an additional 10 percent facing furloughs or reduced hours. The cuts, driven by the severe economic impact of the COVID-19 pandemic and a nationwide shutdown, primarily affected teams in design, real estate development, and finance. With business activity sharply declining—new location signings dropped from seven or eight per month to just two or three—the company scaled back these non-customer-facing operations. Senior executives, including CEO Jamie Hodari who took a 75 percent salary reduction, also implemented pay cuts. Industrious, which operates shared office spaces in 35 U.S. markets, provided laid-off staff with severance, extended health coverage, and adjusted stock option terms. The layoffs reflect broader struggles in the flex office and commercial real estate industry during the pandemic.

The Predictive Index, a Boston-based talent optimization software company, laid off 59 employees across all departments. This reduction, driven by the economic impact of the COVID-19 pandemic, occurred in 2020. The company, which had raised $50 million from General Catalyst the previous year, made the cuts as part of broader adjustments during the global health crisis.

Ritual laid off 196 employees representing approximately 54% of its workforce on 2020-04-02.

FiscalNote, a Washington, D.C.-based technology firm, laid off 30 staffers at its subsidiary CQ Roll Call, a prominent news organization covering Capitol Hill. The layoffs, which occurred on Thursday, primarily affected the editorial department, according to sources familiar with the matter. FiscalNote acquired CQ Roll Call for $180 million in 2018, and while the news outlet was profitable at the time, it has experienced previous rounds of high-profile firings under prior ownership. The cuts reflect ongoing challenges in the media and tech industries as companies restructure operations.

TripleLift, an independent ad tech company, laid off 7% of its global workforce and implemented an unspecified number of furloughs, along with compensation reductions for staff and management. The cuts were announced during a virtual all-hands meeting as the company prepares for a challenging quarter, citing advertisers across multiple industries pausing campaigns and causing revenue projections to plummet. This restructuring reflects broader pressures in the ad tech sector amid economic uncertainty.

Swedish electric scooter startup Voi, a European rival to Bird, implemented significant workforce reductions in early April 2020 to ensure its survival during the COVID-19 pandemic. The company laid off and furloughed most of its staff, including all employees on probation, some senior management, and roles across finance, engineering, design, and commercial. While the exact number of layoffs was not specified, the action was described as a drastic measure affecting a large portion of its workforce. The primary reason was to drastically cut costs and preserve the company's cash runway into 2021, as widespread lockdowns across Europe severely impacted the scooter-sharing industry during what should have been the peak season. Voi, which operated in over 38 cities across 10 European countries, leveraged national furlough schemes to mitigate the crisis while its management team took pay cuts.

Shuttl, an Indian travel tech startup, has laid off 40 employees across various teams, including its on-ground operations staff, as the COVID-19 pandemic severely disrupts the travel industry. The layoffs occurred in late March or early April 2020, with the company directing some employees to resign and terminating others. Those who resigned were offered one month's pay, while terminated employees faced delays in receiving their full and final settlements. This move reflects broader industry pressures, with many VC-funded startups resorting to workforce reductions to conserve cash and extend their operational runway during the economic downturn.

In April 2020, offsite construction technology company Katerra laid off approximately 240 employees, representing 3% of its then 8,000-strong global workforce, as the COVID-19 pandemic forced shutdowns across its operations. The Menlo Park-based firm also implemented salary cuts for higher-paid staff, with then-CEO Michael Marks reducing his own salary to zero. By July 2020, under new CEO Paal Kibsgaard, Katerra announced another round of layoffs, cutting over 400 employees or 7% of its workforce across functions like HR and engineering, as part of efforts to streamline cash flow and accelerate its path to profitability.

In April 2020, streetwear and media publisher Highsnobiety laid off 25% of its workforce, totaling 51 employees, as the COVID-19 pandemic severely impacted its operations. The cuts, affecting 38 staff in Berlin and 13 in the U.S., included the closure of its commerce division. Founder David Fischer cited the crisis's devastating effects, noting that cost-saving measures were insufficient, and the commerce model became unsustainable as brands halted shipping and production. The 15-year-old company, which had invested in direct-to-consumer product creation, was forced to reimagine its business amid supply chain disruptions and shifting consumer demand.

Denver-based travel startup Pana laid off 18 employees last week due to the severe impact of the COVID-19 pandemic on its core business travel services. CEO Devon Tivona acknowledged the difficulty in predicting the crisis's duration, leading the company to make painful cuts to ensure survival amid uncertainty. While the exact remaining headcount wasn't disclosed, Pana had previously aimed to grow to 60 employees by the end of 2019 after raising $10 million in funding. The layoffs were accompanied by pay cuts of 10-30% for remaining staff, including reduced salaries for the founders. Founded in 2014, Pana provides business travel coordination and logistics through its app, but the pandemic's disruption to corporate travel forced this restructuring to secure the company's future over the next two years.

WhyHotel, an alternative lodging startup based in NoMa, laid off a significant portion of its pop-up hotel team and some talent staff in early April 2020 due to the severe impact of the COVID-19 pandemic on the hospitality and travel industries. While the exact number of layoffs was not disclosed, the company had nearly 100 employees as of December 2019. CEO Jason Fudin announced the cuts via LinkedIn, citing the need to adapt to the unprecedented downturn, which also led to pay cuts for remaining employees. Concurrently, WhyHotel pivoted its operations to enforce minimum 14-day stays to align with social distancing guidelines and shifted focus to its Hospitality Living real estate development arm, aiming to launch a high-rise residential project by 2022. The layoffs reflect broader challenges faced by startups in the sector during the pandemic's peak.

Moovel laid off 28 employees representing approximately 37% of its workforce on 2020-04-01.

Usermind laid off 15 employees representing approximately 25% of its workforce on 2020-04-01.

Flymya, a travel technology company based in Myanmar, laid off an unspecified number of employees in early 2023 as part of a restructuring effort amid challenging economic conditions in the region. The layoffs affected a portion of its workforce, though exact figures regarding the total employees or percentage impacted were not publicly disclosed. The company, operating in the competitive online travel industry, scaled back operations to navigate reduced travel demand and financial pressures. This move reflects broader struggles within the tech and travel sectors in Southeast Asia during that period.

Le Tote, a fashion rental subscription service, laid off approximately 20% of its workforce in late 2022, affecting dozens of employees. The layoffs were part of a broader restructuring effort as the company, which had previously acquired the department store chain Lord & Taylor, faced significant financial challenges and a difficult retail environment. Operating in the e-commerce and fashion rental industry, Le Tote undertook these cuts to streamline operations and reduce costs amid shifting consumer behaviors and economic pressures.

In early April 2020, amid the global COVID-19 pandemic, Indian insurtech startup Acko laid off approximately 45 to 50 employees, representing about 9-10% of its then workforce of 480-500. The layoffs, primarily affecting operations and marketing roles, were part of broader cost-cutting measures to extend the company's financial runway during a period of economic uncertainty. Senior leadership also took voluntary salary reductions of 50-70%. CEO Varun Dua cited specific business lines being impacted with no near-term recovery in sight, necessitating team consolidation. Despite the insurtech sector being relatively resilient, the pandemic prompted Acko, a venture-backed startup, to rationalize its structure to weather the storm.