Layoffs in United States

Shipsi laid off 20 employees representing approximately 50% of its workforce on 2020-04-28.

In April 2020, digital advertising company OpenX laid off or furloughed 15% of its workforce, primarily through layoffs, in response to the COVID-19 pandemic's expected long-term reduction in marketer spend. The cuts, which also included reduced hours for a small number of employees and 15-20% salary reductions for the leadership team, brought the company's total headcount to just over 200 employees. This represents a significant decline from previous years, as OpenX had already reduced staff in late 2018. The company is realigning its focus toward the demand side of its business, streamlining operations to weather the downturn while continuing to invest in its products for publishers and marketers.

In April 2020, amid the COVID-19 pandemic, robotic process automation (RPA) startup Automation Anywhere laid off approximately 10% of its workforce, affecting hundreds of employees. The company, which provides software to automate repetitive tasks, cited a sharp decline in demand for its traditional on-premise products as customers accelerated their shift toward cloud and hybrid cloud solutions due to the remote work transition. This restructuring aimed to reallocate resources toward these growing market areas. Despite earlier reports of increased product interest during the outbreak, the economic uncertainty led the well-funded startup to reduce headcount as part of broader cost-cutting measures.

JetClosing laid off 20 employees representing approximately 20% of its workforce on 2020-04-27.

In late April, Submittable, a Missoula-based company providing online application management software primarily for universities and other organizations, laid off 30 employees, representing 20% of its workforce. The layoffs affected all departments and were driven by the significant impact of COVID-19, as many of its 2,000 university clients halted operations. The CEO stated that acting sooner allowed the company to provide better severance, with affected employees receiving one to two months of pay. This move reflects the broader challenges faced by tech startups serving the education sector during the pandemic.

Welkin Health, a San Francisco-based healthcare software startup backed by Josh Kushner's Thrive Capital, laid off 10 employees, about one-third of its roughly 30-person workforce, on April 24, 2020, citing a sales decline due to the COVID-19 pandemic. Just three days later, the company was approved for at least $1 million in Paycheck Protection Program (PPP) loans, which are intended to help small businesses retain staff. This timing raised concerns about the program's integrity, as the layoffs reduced the company to about 20 employees, despite reporting 30 to the SBA. The move contradicted advice from its investor and may risk loan forgiveness, highlighting tensions between startup funding and federal aid meant for vulnerable small businesses.

Lighter Capital laid off 18 employees representing approximately 22% of its workforce on 2020-04-24.

UPshow, a Chicago-based digital signage company in the tech industry, laid off an unspecified number of employees in April 2020 as part of broader workforce reductions impacting the local tech sector due to the economic challenges of the COVID-19 pandemic. The layoffs were reported amid a period of significant uncertainty, reflecting the pandemic's disruptive effect on businesses, though exact figures regarding the scale of the layoffs and the company's total workforce at the time were not detailed in the coverage.

In April 2020, amid the widespread economic disruption caused by the COVID-19 pandemic, Los Angeles-based manufacturing startup Divergent 3D laid off approximately 57 employees, representing about one-third of its then 160-person workforce. Founder and CEO Kevin Czinger confirmed the staff reductions were a difficult but necessary step to ensure the company's long-term financial stability and protect its core technology development and customer programs. Operating as an innovative Tier 1 supplier for the automotive and aerospace industries, Divergent 3D developed an additive manufacturing platform aimed at making vehicle production more efficient and less environmentally impactful. The layoffs were a direct response to the enormous uncertainty surrounding the pandemic's duration and economic impact, as the company sought to become as resilient as possible.

Cheddar, the live-streaming news and entertainment outlet owned by Altice USA, has permanently closed its Los Angeles studio and conducted company-wide layoffs, confirmed on a recent Friday. The layoffs, part of a consolidation merging its two networks—Cheddar and Cheddar News—into one, affected an undisclosed number of employees, including West Coast anchor Alyssa Julya Smith. While the exact figures for total employees and percentage laid off are not specified, the move reflects a strategic shift to streamline operations in the competitive digital media industry, focusing on delivering business and cultural news from its New York base. Affected staff are receiving severance and benefits.

Convoy representing approximately 1% of its workforce on 2020-04-23.

Sisense, an Israel-based business analytics software unicorn, laid off 80 employees, representing 9% of its global workforce of 900, with 20 of those cuts occurring at its Israeli headquarters. The layoffs, announced in late April 2020, primarily affected sales and marketing teams and were implemented as a strategic adjustment to anticipated economic slowdowns and lower growth due to the COVID-19 pandemic. Despite recent rapid expansion, including hiring 100 new employees, the company cited the need to balance expenditures with income forecasts. Operating in the business intelligence and data analytics industry, Sisense had achieved a valuation of $1.1 billion earlier in the year and reported estimated 2019 earnings of approximately $100 million.

In April 2020, HR tech startup Zenefits laid off approximately 15% of its workforce, affecting an estimated 80-100 employees out of a total of around 578. The company, which provides HR and payroll software for small and medium businesses, cited the severe economic impact of the COVID-19 pandemic as the reason for the cuts. CEO Jay Fulcher explained that the crisis forced a re-evaluation and realignment of the business plan, leading to this difficult decision. This move reflected broader job losses across Silicon Valley as the pandemic disrupted businesses globally.

Oscar Health laid off 70 employees representing approximately 5% of its workforce on 2020-04-23.

StockX, the prominent online resale marketplace for sneakers and streetwear, laid off approximately 12% of its workforce in late April 2020, affecting 100 to 150 employees. This reduction came as the company, which had around 800 employees, faced plummeting demand due to the COVID-19 pandemic's economic impact. CEO Scott Cutler cited the need to cut costs and achieve profitability, aligning with broader efforts to prepare for a potential future IPO. The layoffs impacted teams in quality assurance, engineering, product, and operations across its Detroit headquarters and Arizona office, reflecting a significant restructuring during a period of global economic uncertainty.

Clearbit, a San Francisco-based marketing data enrichment company, laid off at least 12 employees across all departments last week. While the exact percentage of its workforce affected is not specified, the layoffs included several engineers based in San Francisco. The move reflects ongoing adjustments within the tech and marketing industries, as companies streamline operations amid broader economic pressures.

Ike laid off 10 employees representing approximately 14% of its workforce on 2020-04-22.

ExtraHop on 2020-04-22.

When I Work laid off 55 employees representing approximately 35% of its workforce on 2020-04-22.

Magic Leap, a prominent augmented reality startup, laid off 1,000 employees last week, representing 50% of its total workforce. The cuts affected all departments, including over 100 engineers primarily based in Florida. This significant reduction is part of a broader trend of large-scale layoffs across the tech industry amid the economic challenges posed by the COVID-19 pandemic.

Lambda School, an online coding bootcamp, laid off 19 employees in April 2020 due to market uncertainty from the COVID-19 pandemic, which impacted hiring and the financial markets crucial to its income-share agreement model. The layoffs also stemmed from a strategic shift to prioritize quality and student experience over aggressive growth goals for the year. Additionally, the eight-member executive team, including CEO Austen Allred, took a 15% pay cut. The company, backed by Y Combinator and launched in 2017, faced prior controversies over its educational model and regulatory compliance. The exact proportion of staff affected was not disclosed, but the move reflects broader challenges in the edtech and startup sectors during the economic downturn.

Casper laid off 78 employees representing approximately 21% of its workforce on 2020-04-21.

In April 2020, creative platform Patreon laid off 30 employees, representing 13% of its workforce, as part of a restructuring to navigate economic uncertainty during the COVID-19 pandemic. Despite reporting an uptick in new creators and increased patron support in March, the company cited the need to ensure long-term sustainability. Patreon, a startup in the creator economy, noted that while its financial position was strong, the decision aimed to prepare for prolonged market challenges.

Protocol, the tech-focused news site launched by Politico's parent company, laid off 13 employees on April 21, 2020, just 11 weeks after its debut. The layoffs affected both editorial and business teams, reducing the staff from 35 to 22, a cut of about 37%. Leadership cited the profound economic impact of the COVID-19 pandemic as the reason, forcing a rapid adjustment despite confidence in the long-term mission. This move highlights the severe financial pressures the coronavirus placed on media companies, even newly launched ventures in the tech journalism industry backed by established players.

RealSelf laid off 40 employees representing approximately 13% of its workforce on 2020-04-21.

LendingClub, a major U.S. online personal loan provider, announced layoffs of 460 employees, representing about 30% of its workforce. The cuts, disclosed in a regulatory filing, are a response to the COVID-19 pandemic's severe impact on consumer and small business demand for loans. CEO Scott Sanborn cited the need to realign staffing with the current economic environment, with executives taking salary reductions as part of the cost-saving measures. The fintech company, which had a prominent tech IPO in 2014, is among several online lenders facing challenges due to the economic slowdown.

In April 2020, Houzz, a $4 billion-valued online platform for home renovation and design, laid off 155 employees, representing about 10% of its workforce. The company also implemented executive salary cuts. This decision was driven by the severe impact of the COVID-19 pandemic on its core business of pro subscriptions, as home remodeling professionals faced widespread project delays and cancellations due to social distancing measures. The layoffs followed a previous restructuring in March 2020, when Houzz let go of 10 employees and discontinued its in-house furniture line. The company, operating in the home services and e-commerce industry, cited the need to align strategic investments with the challenging economic environment affecting small businesses in its sector.

In April 2020, amid the early stages of the COVID-19 pandemic, the San Francisco-based outdoor travel startup Hipcamp conducted a significant round of layoffs due to a sharp drop in bookings as shelter-in-place orders took effect. According to a report from an employee, approximately 60% of the company's workforce was let go over a two-week period, though Hipcamp disputed that specific percentage, stating the actual figure was significantly lower. The layoffs were a direct response to the economic uncertainties and travel restrictions that crippled the industry. By August 2020, however, the company had rebounded as outdoor activities gained popularity, even rehiring some previously laid-off employees and expanding through the acquisition of the Australian startup Youcamp.

Primary care startup Forward laid off approximately 10 employees, representing 3% of its roughly 350-person workforce, in April 2020 amid the coronavirus pandemic. The cuts primarily affected recruiting and expansion roles, as the company adjusted to unexpected changes during the health crisis. Despite the layoffs, Forward remained on the front lines, providing COVID-19 testing and care at its clinics in cities like San Francisco, New York, and Washington, D.C. The venture-backed startup operates on a membership model, charging $150 per month for primary care services without accepting insurance.

ConsenSys laid off 91 employees representing approximately 14% of its workforce on 2020-04-20.

Zum, a children's transportation service based in the SF Bay Area, laid off at least 28 employees across all departments earlier this week. The layoffs come as school closures have negatively impacted demand for its services, a challenge also faced by rival HopSkipDrive. While the exact percentage of its workforce affected is not specified, the cuts reflect broader difficulties in the edtech and transportation sectors amid shifting operational environments.

In April 2020, the Santa Monica-based digital advertising firm GumGum laid off 25% of its workforce, affecting approximately 90 employees out of a total of around 360. The layoffs impacted both its core contextual advertising business and its sports analytics division. CEO Phil Schraeder cited the severe economic impact of the COVID-19 pandemic, which caused a significant drop in digital ad revenue across the industry. Despite having secured $22 million in Series D funding just two months prior in February, the company stated the cuts were a necessary adjustment to weather the volatile market and ensure long-term stability. This move reflected broader challenges in the adtech sector, where many firms were forced to reforecast revenues downward due to the crisis.

Kickstarter plans layoffs after new projects on the site drop off by 35 percent, indicating a restructuring effort due to decreased project submissions.

Motif Investing, an online investing platform, announced its shutdown on April 18, 2020, effectively laying off its entire workforce. While the exact number of employees affected was not specified, the closure was attributed to the economic pressures exacerbated by the coronavirus pandemic. Operating in the fintech industry, Motif offered thematic and socially responsible investment portfolios. The company's decision to cease operations reflects the broader challenges faced by financial technology startups during the market volatility and uncertainty of early 2020.

Greenhouse, a New York-based company that provides applicant tracking software for recruiting, laid off 120 employees, representing 28% of its workforce, on Friday. This move reflects broader challenges in the recruiting tech sector, coming just a week after competitor Lever cut 86 employees. The company is offering affected staff 8 weeks of severance and 8 months of healthcare coverage.

Sweetgreen, a fast-casual salad chain in the food and beverage industry, laid off 10% of its headquarters staff in late March 2020, affecting 35 employees out of 350 at its Culver City, Los Angeles office. The layoffs were a response to plunging revenue caused by the COVID-19 pandemic, which severely impacted in-store dining. Despite being a tech-forward company with strong online ordering, the broader restaurant industry devastation led to these cuts, which were executed abruptly, leaving employees surprised after earlier assurances of job security.

Dispatch representing approximately 38% of its workforce on 2020-04-17.

In April 2020, the Tor Project, a nonprofit focused on privacy software, was forced to lay off 13 employees due to the severe financial impact of the COVID-19 crisis. This reduction brought its team down to a core of 22 people, meaning approximately 37% of its workforce was cut. The organization stated these difficult steps were necessary to ensure its survival and its continued ability to provide the Tor Browser and critical censorship circumvention services. Despite the layoffs, Tor reaffirmed its dedication to its mission, emphasizing the growing urgency for privacy and secure online access during the global pandemic.

BitGo representing approximately 12% of its workforce on 2020-04-17.

Grailed, an online marketplace for men's clothing based in New York City, laid off at least 12 employees across all departments last week. While the exact percentage of its workforce affected is unclear, the cuts reflect broader challenges in the tech and e-commerce sectors as companies adjust to economic pressures. The layoffs were confirmed by a high-ranking HR employee, highlighting the ongoing trend of restructuring within the industry.

CarGurus, an online car marketplace, laid off 130 employees last month, representing 13% of its workforce. The company cited the impact of stay-at-home orders, which forced many car dealers to close and effectively paused vehicle sales. Despite efforts to reduce marketing expenses and offer significant discounts to support dealer partners, CarGurus was unable to avoid these staff reductions. The layoffs affected all departments of the company.

Purse representing approximately 100% of its workforce on 2020-04-16.

LumenAd, a marketing technology company, has conducted a reduction in force (RIF), as evidenced by a spreadsheet listing numerous affected employees seeking new roles. The document includes at least 100 rows, suggesting a significant layoff event impacting software developers, data scientists, and marketing automation specialists, primarily based in Missoula, Montana. While the exact percentage of the workforce affected is not specified, the scale indicates a major restructuring. The context points to broader economic challenges in the tech and ad-tech industries, with these layoffs likely occurring recently, given the employees are actively searching for new positions.

SquadVoice on 2020-04-16.

Kodiak Robotics laid off 15 employees representing approximately 20% of its workforce on 2020-04-15.

View, a 13-year-old dynamic glass company based in Milpitas, California, has conducted layoffs affecting an unspecified number of employees, including at its plant in Olive Branch, Mississippi, as reported in April 2020. While the exact scale of the job cuts is not disclosed, former employees cited the pandemic as the reason, with one noting the company "really cleaned house," impacting several long-time staff. View, which had raised $1.1 billion from SoftBank's Vision Fund in 2018, operates in the building materials and green technology industry, focusing on energy-efficient glass for commercial real estate. The layoffs reflect broader challenges during the COVID-19 crisis, though the company's total workforce and percentage affected remain unclear.

Trove Recommerce, a company that assists retail brands with their resale programs, laid off 13 employees last week, affecting all departments. The layoffs were confirmed by a company executive, though the specific reason was not disclosed. Based in the San Francisco Bay Area, Trove operates in the retail technology and recommerce industry, focusing on helping brands manage second-hand sales. This reduction represents a significant workforce adjustment for the company, reflecting broader challenges or strategic shifts within the tech and retail sectors.

Carta, a fintech company providing equity management software, laid off 161 employees last week, representing 16% of its workforce across all departments. The layoffs were part of a restructuring effort, with the company citing a need to streamline operations. Affected employees are receiving a generous severance package, including three months of pay and healthcare coverage through the end of the year. The company operates globally with offices in San Francisco, Salt Lake City, and Rio de Janeiro.

Opendoor, a San Francisco-based startup that operates an online platform for buying and selling homes, laid off 600 employees yesterday, representing 35% of its workforce. The cuts affected all departments and mark one of the largest layoffs among pre-IPO companies since the pandemic began, following only Toast's recent reduction of 1,300 staff. The company cited broader economic challenges as it scales back operations, offering affected employees eight weeks of pay and 16 weeks of health insurance reimbursement. This move reflects the significant pressures facing the real estate tech sector amid shifting market conditions.

Zume, a troubled SoftBank-backed robotics startup, laid off approximately 200 employees on April 15, 2020, representing two-thirds of its workforce after earlier cuts in January. This drastic reduction left the company with about 100 staffers, down from nearly 1,000 at its peak when it was valued over $1 billion. The layoffs were driven by failed funding efforts, exacerbated by the COVID-19 pandemic, which caused investors to withdraw and disrupted supply chains and customer contracts. The cuts affected two major divisions, including Zume Forward and the Gigaranch team, shifting the company's focus to compostable food packaging amid financial struggles and executive departures.