ThredUp

ThredUp, an online resale apparel retailer, laid off 15% of its corporate workforce in August 2022 as part of cost-cutting measures amid widening quarterly losses. While the exact number of affected employees was not disclosed, the move came as the company anticipated a challenging economic environment with consumers reducing spending, particularly among discount-oriented shoppers. Despite reporting a 27% revenue increase to $76.4 million in Q2 2022 and growth in active buyers, ThredUp faced a contracting gross margin and a net loss that nearly doubled to $28.4 million. The layoffs were accompanied by the closure of a processing center, reflecting efforts to streamline operations while continuing to expand its resale-as-a-service platform for partner brands.

Online clothing reseller ThredUp is laying off 243 employees as it closes its distribution center in Vernon Hills, Illinois, effective March 19, 2021. The company, which operates in the e-commerce and secondhand fashion industry, is consolidating operations into more scalable and cost-efficient facilities in Pennsylvania, Georgia, and Arizona. While the exact total employee count isn't specified, the layoffs are part of a strategic shift following pandemic-related sales fluctuations and ahead of a planned initial public offering. ThredUp is offering affected workers relocation support, severance, and job placement assistance.