Layoffs in United States

Ridecell, an operations platform serving ride-sharing companies, laid off 35 employees last Thursday, representing 15% of its workforce. The layoffs are attributed to the struggles of its customers during nationwide lockdowns amid the coronavirus pandemic, which has severely impacted the transportation industry. This move places Ridecell among other transportation startups like Uber, Lyft, Zum, and HopSkipDrive that have also conducted significant layoffs recently. The affected employees include 16 engineers based in the Bay Area, highlighting the broader economic challenges faced by tech firms in the sector during this time.

Cruise, the autonomous vehicle subsidiary of General Motors, laid off approximately 150 employees, representing about 8 percent of its workforce, in May 2020. The job cuts, which affected recruiting, product, design, and business strategy roles, were implemented to reduce costs during the COVID-19 pandemic. Despite having significant funding and a high valuation, the company chose to streamline operations and focus more intensively on its engineering efforts, reflecting broader challenges and workforce reductions within the self-driving car industry at the time.

Mode Analytics, a business intelligence and data analytics platform, laid off 17 employees across multiple departments including Sales, Engineering, and Product. The layoffs, announced by CEO Derek Steer in a LinkedIn post, represent a workforce reduction affecting teams company-wide. While the exact percentage and total employee count were not disclosed in the announcement, the decision was described as difficult, with the company expressing gratitude for the contributions of the departing staff. The primary focus following the layoffs was on supporting the affected employees by compiling a list to assist them in finding new opportunities within the industry.

Kickstarter, the crowdfunding platform, significantly reduced its workforce in May 2020, cutting nearly 40 percent of its staff. This reduction included 25 layoffs, representing about 18 percent of employees, plus an additional 30 employees who accepted voluntary buyout packages. The company cited the economic downturn caused by the COVID-19 pandemic, noting a 35 percent drop in new projects on its platform with no immediate recovery in sight. As a public benefit corporation in the tech and crowdfunding industry, Kickstarter implemented these measures to navigate the financial challenges of the time.

In May 2020, the Silicon Valley delivery startup Deliv laid off 669 employees, primarily affecting 591 drivers from its subsidiary Deliv California, as the company announced it would wind down operations over the next 90 days. This represented a significant portion of its workforce, which had grown to serve 1,400 cities. The layoffs followed the company's shift to an employee-based model in California in response to the state's AB 5 gig economy law, which reclassified independent contractors as employees. Despite earlier confidence that this change wouldn't harm its business, Deliv cited a "confluence of events" leading to its decline, ending its innovative same-day delivery service that partnered with brick-and-mortar retailers.

Hireology laid off 36 employees representing approximately 17% of its workforce on 2020-05-12.

Datto on 2020-05-12.

Mixpanel laid off 65 employees representing approximately 19% of its workforce on 2020-05-12.

Petal, a New York City-based fintech company that provides credit cards to individuals without established credit scores, laid off at least 10 employees last week. The layoffs impacted various departments, though the exact total number affected remains unclear. While the company's overall employee count is not specified, this reduction reflects broader challenges in the fintech sector, where many startups are streamlining operations amid economic pressures. The event underscores the ongoing adjustments within the tech industry as companies navigate uncertain market conditions.

Airbnb-backed corporate housing startup Zeus Living laid off 73 employees, representing nearly half of its remaining workforce, as announced by CEO Kulveer Taggar in a blog post on Tuesday, May 12, 2020. This drastic cut follows a previous round of layoffs in late March, where about 80 employees, or one-third of the staff, were let go. The company, which provides furnished long-term rentals primarily for business travelers in six U.S. metro areas, is facing severe challenges due to the coronavirus pandemic, which has halted travel and slashed its 2020 revenue projections to just 55% of original expectations. With a total employee count now significantly reduced, Zeus is also scaling back its property portfolio and has decided to return its PPP loan. The startup, backed by investors including Airbnb, recently raised $15 million at a reduced valuation, reflecting the tough market conditions in the travel and hospitality industry.

Cadre, an online marketplace for commercial real estate investments, laid off 28 employees last week, representing 25% of its workforce. The cuts affected all departments, including sales, product, engineering, people, and finance. This downsizing is a direct result of the sudden slowdown in the real estate market, which has impacted the company's revenue from transaction fees. To support those affected, Cadre is offering health insurance through the end of 2020 and extending the post-termination exercise period for vested stock options to two years.

Flywire laid off 60 employees representing approximately 12% of its workforce on 2020-05-07.

Tally, a San Francisco-based fintech startup that helps users manage multiple credit cards, laid off 28 employees last Monday, representing 23% of its workforce across all departments including Engineering, Design, and People Operations. The company cited restructuring efforts amid broader economic challenges, offering severance, extended health insurance through 2020, and additional benefits to support affected staff. This move reflects ongoing adjustments in the tech industry as startups navigate uncertain market conditions.

Jump laid off 500 employees representing approximately 100% of its workforce on 2020-05-07.

Glassdoor, an online job search and company reviews platform, laid off 300 employees in May 2020, which represented 30% of its workforce at the time. The drastic cuts were a direct response to the severe economic impact of the COVID-19 pandemic, which caused a dramatic and sustained drop in business as employers sharply reduced their recruiting activities. CEO Christian Sutherland-Wong, who had recently taken leadership, described the decision as heartbreaking and took full responsibility, noting the cuts were necessary despite executive pay reductions, including his own 50% cut. The company provided affected employees with severance packages including at least three months of pay and extended health benefits.

SalesLoft laid off 55 employees on 2020-05-07.

Flatiron School, a coding bootcamp owned by WeWork, laid off over 100 employees in early May 2020 as part of broader cost-cutting measures by its parent company amid the coronavirus pandemic. The layoffs primarily affected design and marketing teams, leading to the wind-down of its design program and the permanent closure of campuses in Atlanta and London. Employees received four months' severance pay. The cuts reflect WeWork's ongoing restructuring efforts to navigate financial challenges during the pandemic.

Following its merger with Telaria in April 2020, the Rubicon Project announced layoffs affecting 8% of the combined workforce, amounting to roughly 50 employees out of a pre-merger total of 623. The cuts, part of broader cost-saving measures exceeding $20 million, were accelerated by the economic impact of the COVID-19 pandemic. While the company reported 12% year-over-year revenue growth for Q1 2020, the crisis prompted immediate austerity, including executive pay reductions and a hiring freeze. The digital advertising firm highlighted a surge in connected TV (CTV) viewership as a key industry shift during this period.

Validity laid off 130 employees representing approximately 33% of its workforce on 2020-05-06.

ThoughtSpot, a business intelligence and analytics software company, laid off employees in May 2020 as part of broader cost-cutting measures within the enterprise tech sector. The layoffs were a direct response to the economic downturn and uncertainty caused by the COVID-19 pandemic, which led to a projected decline in corporate IT spending. While the exact number of employees affected was not publicly detailed, the action reflects the challenges faced by many enterprise tech firms at the time, even as some segments of the industry benefited from the shift to remote work.

Uber, the global ridesharing and mobility platform, laid off 3,700 employees last Wednesday, representing 14% of its workforce. The cuts primarily impacted the customer support and recruiting teams. In a letter to staff, the CEO indicated that further layoffs are expected in the coming week, potentially affecting engineering and product departments. Reports suggest the total number of job cuts could eventually reach between 5,400 and 6,700. Additionally, Uber's subsidiary Jump is reportedly cutting 400-500 employees as it is being offloaded to Lime, following Uber's investment in the electric scooter company.

Data analytics unicorn Segment, a $1.5 billion startup competing with giants like Oracle and Salesforce, laid off 10% of its staff in early May 2020, cutting just over 50 jobs. The layoffs were a direct response to the economic challenges brought on by the COVID-19 pandemic, which led to shrinking IT budgets and a slowdown in business as enterprise customers were squeezed. CEO Peter Reinhardt stated the company was restructuring to adapt to the rapidly changing situation and to focus on supporting customers undergoing digital transformation. Despite serving over 19,000 clients and having raised about $284 million from investors like Accel and GV, Segment took this step to ensure it remained well-resourced for the future amid the downturn.

Uber laid off 14 percent of its workforce as part of COVID-19-related cost-cutting measures.

Cloudera on 2020-05-05.

Last month, Juul, the embattled e-cigarette maker, laid off 900 employees, representing 30% of its workforce. This follows a previous round of 650 layoffs in October, bringing the total cuts over the past year to 1,550 employees. The company, which has faced intense regulatory scrutiny and controversy over its role in youth vaping, stated these reductions were unrelated to the COVID-19 pandemic. These significant workforce reductions reflect the severe operational and legal challenges confronting the vaping industry.

Workable laid off 25 employees representing approximately 10% of its workforce on 2020-05-05.

Stack Overflow, the widely-used developer Q&A platform, has reduced its workforce by 15%, affecting 40 employees, as announced in early May 2020. This decision was driven by the economic impact of the coronavirus pandemic, which particularly affected its Talent business—a service for recruiting developers—as hiring slowed across the tech industry. Most of the impacted staff were furloughed, retaining benefits, while some were laid off. The company, which reported around 50 million monthly unique visitors and an annualized revenue run rate of $80 million, stated the cuts were necessary to ensure long-term sustainability, with a focus on growing its paid products and advertising to eventually reinstate furloughed employees.

In May, Africa-focused tech startup Andela laid off 135 employees, impacting multiple departments across its offices in Nairobi, Lagos, Kigali, Kampala, and New York City. The company, which provides engineering as a service, cited a decline in customers due to the economic downturn as the primary reason. This workforce reduction, which included 59 engineers and 30 non-engineers, coincides with a strategic shift from a talent accelerator model to a talent outsourcing firm. The layoffs affected a significant portion of its team, with most impacted employees based in Africa.

Airbnb, the home-sharing startup, laid off 1,900 employees, representing 25% of its workforce, on Tuesday. The company is pausing initiatives such as Transportation and Airbnb Studios, while scaling back its Hotels and Lux divisions. Laid-off U.S. employees will receive a generous severance package including at least 14 weeks of base pay and 12 months of health insurance.

In May 2020, amid the COVID-19 pandemic's economic fallout, Australian tech company LiveTiles laid off 50 employees as part of restructuring efforts. The layoffs, which included the entire U.S. products team, were driven by market volatility, a sharp decline in the Australian dollar, and frozen investor appetite, despite the company's recent recognition as one of Australia's fastest-growing tech firms with $55 million AUD in annual revenue. This move aimed to reduce costs and navigate the sudden downturn, highlighting the pandemic's severe impact on even high-growth sectors.

Virtudent laid off 70 employees on 2020-05-01.

Sandbox VR, a virtual reality startup, conducted significant layoffs last week, reportedly cutting 80% of its staff. This reduction left the company with a skeleton crew of around 20 employees. The layoffs notably included the entire engineering team, and the CEO announced he was laying himself off as well. The company, which operates in the VR entertainment industry, has faced challenges amid broader economic pressures affecting tech startups.

Automatic, a connected car hardware startup acquired by SiriusXM, is shutting down all operations on May 28, 2020, as a direct casualty of the COVID-19 pandemic. The company, which produced a popular dongle for car monitoring and driver insights, informed customers that its services—including crash alerts and roadside assistance—will cease. Founded in 2011 and purchased for over $100 million in 2017, Automatic cited the adverse economic impact of the pandemic as the reason for discontinuing its product and platform, ending support for all device generations and offering limited rebates to customers.

TheSkimm laid off 26 employees representing approximately 20% of its workforce on 2020-05-01.

Namely, a New York City and Atlanta-based HR and payroll software company, laid off 110 employees earlier this month, representing about 40% of its workforce. The layoffs affected all departments, including brokerage, client operations, go-to-market, and product/engineering teams. The company cited the economic impact of the pandemic, as its small and medium-sized business customers have been downsizing, leading to reduced revenue for Namely, which operates on a per-employee monthly fee model.

Cohesity on 2020-04-30.

Bullhorn, a Boston-based CRM software provider for the staffing and recruiting industry, laid off 100 employees last Thursday. The cuts, which affected all departments, were attributed to significant revenue declines among its clients as hiring slows down. The company's CEO publicly shared an opt-in list of the affected employees to assist them in finding new opportunities.

AirMap, an airspace services platform for unmanned aircraft, laid off approximately 28 employees, representing around 30% of its team, effective May 15. The company announced staff reductions and cuts to non-core initiatives, affecting all departments, including engineering roles in Santa Monica and Austin. This restructuring reflects broader challenges in the tech and drone services industry as companies streamline operations.

PicoBrew, a Seattle-based homebrewing appliance startup, effectively shut down in late April 2020 after entering receivership earlier in the year. The company's new owner, the former bridge lender, acquired it through a winning bid and subsequently let go of the founding team—including former CEO Bill Mitchell—and the customer service staff. While the exact number of layoffs and total employees isn't specified, the move signals a full operational wind-down, with assets like patents likely to be sold or licensed. The closure marks the end of PicoBrew's venture in the automated homebrewing industry, leaving the future of its products and services uncertain.

Fandom representing approximately 14% of its workforce on 2020-04-30.

WeWork, the New York-based provider of coworking spaces, has conducted another round of layoffs, affecting an estimated 300 employees primarily from its tech and development teams. The cuts come as the company realigns functions under its strategic five-year plan, citing recent unforeseeable economic conditions, including the shift to remote work during the COVID-19 pandemic. This follows a major layoff of about 2,400 employees last November from a workforce then estimated at 15,000. The company, which has faced significant challenges including a canceled IPO and leadership changes, continues to restructure in pursuit of profitability and positive cash flow goals.

Lyft, the ridesharing company, laid off 982 employees yesterday, which represents 17% of its workforce, and placed an additional 288 on furlough. This significant reduction across all departments comes as the company's revenue has plummeted by more than 50% due to the coronavirus pandemic. The layoffs reflect the severe impact on the transportation industry, with rival Uber also reportedly considering substantial job cuts.

Transfix laid off 24 employees representing approximately 10% of its workforce on 2020-04-29.

Kayak and OpenTable, both owned by Booking Holdings, have implemented workforce reductions affecting 400 employees through layoffs, furloughs, or reduced hours. This action, announced by CEO Steve Hafner in an email on Wednesday, is a direct response to a severe revenue decline caused by the coronavirus pandemic. These cuts mark the first significant reported layoffs within Booking Holdings related to the crisis, aside from earlier contractor non-renewals at Booking.com. As the travel industry faces widespread challenges, further reductions across other Booking brands may follow.

Lime, the scooter rental startup, laid off 80 employees last week, representing 13% of its workforce. The company cited the need to pause operations in nearly all of its global markets to comply with social distancing measures during the coronavirus pandemic. This follows a previous round of layoffs in January, when Lime cut 100 workers and exited 12 markets. The latest reductions impact all departments as the company adjusts to the widespread operational halt.

TripAdvisor, an online travel company, laid off 900 employees, which represents approximately 25% of its workforce. This significant reduction occurred as the company decided to close its San Francisco and downtown Boston offices. The layoffs are part of a broader trend in the travel industry, which has been heavily impacted by the COVID-19 pandemic and related shelter-in-place orders. TripAdvisor joins other travel companies like Sonder, TripActions, TravelTriangle, and Fareportal in implementing workforce cuts during this challenging period.

PayJoy, a San Francisco-based lending startup that helps customers without bank accounts or credit histories purchase smartphones on installment plans, laid off 23 employees, representing 25% of its workforce, on April 28. The company, which has raised $71 million in funding, cited the economic uncertainty caused by the COVID-19 pandemic as the reason, expecting a significant impact on revenue and fundraising despite a strong first quarter. The layoffs, affecting all departments including engineering, were intended to extend the company's financial buffer, with affected employees' last day set for June 30.

Migo representing approximately 25% of its workforce on 2020-04-28.

App Annie, a mobile analytics company, has laid off an unspecified number of employees, estimated by an external source to be around 18% of its workforce, as part of a restructuring effort to ensure self-sufficiency amid the economic challenges posed by the COVID-19 pandemic. The company described the layoffs as affecting a "small fraction" of its staff, attributing the difficult decision to the unprecedented global outbreak and the need to maintain efficiency in the current macroeconomic climate.

Desktop Metal on 2020-04-28.