EducationES

Domestika Layoffs

March 2023

Domestika announced a layoff affecting 89 employees (45% of its workforce) in March 2023. The company operates in the Education sector.

People Affected

Percentage

45%

Announced Date

Mar 31, 2023

About

Domestika, the U.S.-based online learning platform, is planning to lay off 89 employees in Spain, affecting 45% of the 198-person workforce at its Madrid subsidiary Dmstk SL. The company cites economic, organizational, and production reasons, including the impact of macroeconomic conditions and automation through AI tools like ChatGPT. Notably, 22 translation roles and 9 marketing content positions are being cut due to automation, with only a few remaining staff to oversee AI-generated output. The layoffs, part of an ongoing negotiation process, follow around 100 dismissals by the company in Spain last year. Despite raising over $100 million in 2022 and reporting global revenue of approximately $60 million, Domestika continues to streamline operations in response to technological shifts and sector-wide pressures.