In December 2022, coding bootcamp BloomTech, formerly known as Lambda School, laid off approximately 88 employees, representing about half of its total staff. This significant workforce reduction impacted teams across content, product, data, and engineering. The layoffs, the company's third major round since the pandemic began, were attributed to ongoing challenges in making its for-profit, incentive-aligned education model work in a difficult tech labor market. CEO Austen Allred acknowledged the struggles, noting increased competition for graduates amid widespread industry layoffs. The company, which had recently rebranded and adjusted its tuition financing options, provided affected employees with pay and benefits through January 2023.
