Layoff Events

StreamElements representing approximately 20% of its workforce on 2022-06-23.

Kune, a foodtech startup, has ceased operations, resulting in the layoff of its entire 90-person team. The company, which had grown to serve over 6,000 customers, was forced to shut down due to unsustainable business conditions. Despite selling more than 55,000 meals since the beginning of the year, pricing meals at $3 proved insufficient to cover rising food costs and maintain margins. Additionally, the current economic downturn and tight investment markets prevented Kune from securing its next funding round, ultimately leading to its closure. The founder expressed deep regret and is assisting the displaced employees in finding new opportunities while exploring the sale of the company's intellectual property and assets.

Esper representing approximately 12% of its workforce on 2022-06-23.

Netflix is laying off approximately 300 employees, representing about 3% of its workforce, as confirmed in June 2022. This follows an earlier round of 150 layoffs a month prior, both driven by the company's first subscriber loss in a decade and a strategic shift to align costs with slower revenue growth. The streaming giant, part of the technology and entertainment industry, had warned investors it would moderate spending growth while still investing heavily in content. These cuts reflect broader adjustments as Netflix explores ad-supported tiers and addresses password sharing to reignite subscriber growth amid challenging market conditions.

In June 2022, healthcare unicorn Ro laid off 18% of its workforce to manage expenses and align resources with its strategy, despite having raised $150 million at a $7 billion valuation months earlier. The cuts, which notably affected much of the recruiting team, were announced abruptly via Zoom, with impacted employees receiving two months of severance and healthcare benefits. This move followed executive departures and internal tensions, as the company struggled to generate significant revenue from newer products beyond its established ED line. Ro had been preparing for a potential downturn by narrowing its focus and securing additional capital solely from existing investors.

Aura laid off 70 employees representing approximately 9% of its workforce on 2022-06-23.

Mark43, a New York-based public safety software startup valued over $1 billion, laid off approximately 100 employees in late June 2022. The cuts affected various roles, including sales, community operations, and program management, as the company restructured. Mark43, which provides cloud-based records and dispatch systems to police departments globally, had raised $101 million in a funding round the previous year. The layoffs, while unexpected for staff, were part of broader adjustments within the tech industry, impacting a significant portion of its workforce at the time.

Balto laid off 30 employees on 2022-06-22.

Australian instant grocery delivery startup Voly has laid off more than half of its head office staff in early June, a severe cutback driven by a challenging funding environment. The company, which operates in the competitive on-demand grocery delivery sector, has also abandoned its 15-minute delivery promise and closed half of its warehouse sites. As a capital-intensive startup in the food retail industry, Voly has been hit hard by rising interest rates, inflation, and a cautious investment climate, making it difficult to secure the substantial funds needed for growth. This reflects a broader downturn in the tech sector, where rapid expansion is no longer sustainable without profitability.

IronNet, a cybersecurity company founded by former NSA director Keith Alexander, is laying off approximately 90 employees, which represents 35 percent of its workforce of 250. This significant reduction follows a previous 17 percent layoff in June and comes as the company raises a "going concern" warning, stating it may not have sufficient cash to support operations for the next year. The layoffs, announced in late 2022, are part of a restructuring effort to cut costs amid mounting net losses, which reached $28.4 million in the second quarter. The firm, which went public in 2021 with a $1.2 billion valuation, is also replacing its CFO and eliminating one of its co-CEO positions as it faces severe financial challenges and a plummeting stock price.

In June 2022, MindGeek, the parent company of Pornhub, implemented layoffs affecting an unspecified number of employees as part of a major restructuring. This followed the resignations of CEO Feras Antoon and COO David Tassillo. The layoffs were driven by cost-cutting measures after the company faced significant revenue declines over the previous 18 months. These financial struggles were largely due to a series of controversies, including reports that Pornhub had hosted nonconsensual and child sexual abuse material, leading to payment processors like Visa and Mastercard cutting ties. While the exact number laid off was not disclosed, rumors suggested significant cuts, though the company denied claims of over half its workforce being affected. MindGeek, a major player in the online adult entertainment industry, had around 1,600 employees globally at its peak.

Sprinklr, a publicly traded customer experience software company in the martech industry, laid off at least 50 employees from its global marketing department in late June. This restructuring, which occurred under the leadership of its new CMO, Arun Pattabhiraman, is part of a broader effort to drive more efficient and profitable growth. The cuts, representing a small fraction of its workforce of over 4,000, reflect ongoing challenges in the tech sector, where companies are adjusting to economic pressures like slowing growth and rising costs. Despite recently reporting a 31% year-over-year revenue increase, Sprinklr joins numerous other tech firms in streamlining operations to navigate the current market environment.

On June 22, 2022, the online education platform MasterClass laid off approximately 120 employees, representing 20% of its then 600-person workforce. CEO David Rogier cited the need to adapt to a worsening macroeconomic environment and accelerate the company's path to financial self-sustainability. The layoffs affected staff across all teams, though no C-suite executives were included. The startup, which gained popularity during the pandemic for its celebrity-taught video classes, offered a severance package including 11 weeks of base pay, extended healthcare, and career support.

Voi laid off 35 employees representing approximately 10% of its workforce on 2022-06-22.

Ritual, a Canadian food delivery and restaurant technology company, laid off 23 employees. The layoffs were announced by CEO Ray Reddy in a LinkedIn post, who described it as a difficult day for the team. While the exact percentage of the workforce affected and the total employee count were not specified in the announcement, the move reflects the ongoing challenges within the tech industry. The company expressed gratitude for the contributions of the departing staff and actively encouraged other employers to reach out to connect with the affected talent.

In June 2022, amid widespread startup layoffs and an industry-wide struggle for profitability, the micromobility company Superpedestrian reduced its global workforce by 7%, laying off 35 employees. This move was part of a company-wide effort to cut costs and accelerate its path to profitability, reflecting the challenging environment for growth capital at the time. Superpedestrian, which operates shared scooter fleets, emphasized its continued commitment to serving its cities despite the staff reduction.

Community, a creator economy startup that enables influencers and brands to text their fans directly, laid off approximately 40 employees earlier this month amid a broader economic downturn. The company, which has raised $90 million in venture funding and serves notable clients like Paul McCartney and Addison Rae, made these cuts as part of industry-wide challenges affecting tech and media firms. While the exact percentage of its workforce impacted isn't specified, the layoffs reflect tightening conditions in the startup sector, following similar moves by companies like Cameo and Jellysmack. Community differentiates itself by offering SMS-based marketing tools that bypass social media algorithms, but it now faces headwinds like many others in the creator economy space.

In June 2022, code intelligence platform Sourcegraph conducted a downsizing, laying off 8% of its team. The layoffs were executed with transparency and care, described as the complete opposite approach to secretive layoffs seen at other tech firms like Tesla. While the exact number of employees affected wasn't specified, the move was part of a broader trend of adjustments within the tech industry during a period of market uncertainty. The company, a high-growth startup in the developer tools sector, handled the process in a way that industry observers suggested could serve as a model for other companies.

Ebanx laid off 340 employees representing approximately 20% of its workforce on 2022-06-21.

Bengaluru-based edtech startup SuperLearn, which operated a webinar-style online learning platform for children aged 3-13, shut down its operations earlier this year. The company, founded in 2020, laid off its entire workforce as it ceased operations, impacting all employees. This closure occurred amid a broader slowdown in the edtech sector, driven by diminishing investor interest, rising user acquisition costs, and a decline in demand as schools reopened post-pandemic. SuperLearn had raised $300,000 in pre-seed funding and had attracted over 40,000 users, but cofounder Kunal Bhatia cited insufficient runway and shifting market dynamics as key reasons for the shutdown. The company is returning remaining funds to its investors.

Frubana representing approximately 3% of its workforce on 2022-06-21.

Aqgromalin, a Sequoia-backed agritech startup specializing in animal husbandry and aquaculture, has laid off 80 full-time employees, representing about 30% of its workforce. The layoffs, which occurred in mid-May 2022, were a result of a failed Series A funding round after a lead investor unexpectedly pulled out due to the economic downturn, causing a co-investor to follow suit. Based in Chennai, the startup is now restructuring its business, shifting focus away from poultry and large animals to concentrate primarily on aquaculture. Additionally, Aqgromalin is actively pursuing merger talks, including discussions with the D2C meat unicorn Licious, to secure a financial lifeline.

In June 2022, Australian fintech Brighte, which specializes in financing residential renewable energy and solar installations, laid off more than 30 employees, representing about 15% of its workforce. The company, backed by prominent investors including Atlassian billionaires, made the cuts to preserve cash in anticipation of a potential one- to two-year economic downturn. Despite a surge in homeowner interest in solar due to rising energy prices, Brighte opted to streamline operations. The fintech had expanded into EV financing and aimed to become an energy retailer, but faced scrutiny over its financing of overpriced solar systems for vulnerable customers.

SummerBio laid off 101 employees representing approximately 100% of its workforce on 2022-06-20.

Israeli-Singapore retail analytics company Trax is laying off over 100 employees, representing 12% of its workforce, in late June 2022. The layoffs, affecting several dozen employees in Israel, are part of a streamlining effort to accelerate the company's path to profitability ahead of a potential IPO, rather than due to a cash shortage. This decision follows a downturn in the retail food delivery sector and challenging global market conditions that have made future fundraising difficult. Trax, which provides computer vision and robotics technology to retail chains, had raised $640 million in April 2021 at a $2.6 billion valuation and has secured $975 million in total funding to date.

Sports media startup Buzzer laid off approximately 20% of its staff in June 2022, affecting seven full-time employees along with six contractors and part-timers. The company, which had recently grown to about 65 employees, cited the need to be disciplined with resources amid wider economic uncertainty and to focus on key partnerships and product development. Founded in 2021 and backed by notable investors and athletes, Buzzer offers notifications and micro-transactions for live sports moments. Concurrently, the company was raising at least $20 million in new capital, indicating a strategic shift to streamline operations and prioritize its core sports media platform.

Toronto-based startup Bonsai has conducted a second round of layoffs in less than two months, letting go of approximately 30 employees, which follows an earlier reduction of 29 staff in April. Combined, these cuts represent a 70 percent reduction in workforce since April, leaving the company with 25 full-time and contractor employees. CEO Saad Siddiqui cited increased volatility in public and private capital markets as the reason, stating the move aims to conserve cash, extend runway, and focus on profitability amid changing investment criteria. Despite raising $21 million CAD in Series A funding in March, the company, which provides embedded commerce tools for media publishers, is restructuring to navigate a tightening market, joining other Canadian tech firms in recent layoffs.

In June 2022, Singapore-based cryptocurrency exchange Bybit announced significant layoffs, cutting 30% of its workforce, which amounted to approximately 600 employees out of a total of 2,000. This move was part of a broader cost-cutting effort amid a severe downturn in the crypto market, characterized by plummeting token prices and industry-wide instability. Bybit cited the need to remove overlapping functions and build smaller, more agile teams to improve efficiency. The company, which had 6 million registered users and had engaged in high-profile marketing like a $150 million Red Bull Racing sponsorship, offered severance packages and career support to affected staff. This layoff followed similar actions by other crypto firms like Coinbase and Crypto.com, reflecting the challenging "crypto winter" of the time.

In June 2022, Indian social commerce startup CityMall laid off 191 employees, impacting at least 30% of its workforce, which had recently been over 500. The Gurgaon-based company, which had just raised $75 million in late March and over $110 million total from investors like General Catalyst, announced the cuts to implement structural changes and align with an evolving business model amid a sharp market reversal. This move was part of a broader trend of layoffs across Indian startups, as global tech stock declines led investors to slow funding. CityMall, which partners with thousands of micro-entrepreneurs across about 30 cities, described the decision as one of its toughest, offering support to affected staff.

BitOasis laid off 9 employees representing approximately 5% of its workforce on 2022-06-19.

In June 2022, SoftBank-backed Indian edtech unicorn Unacademy laid off another 150 employees, representing about 2.6% of its workforce. This primarily affected staff from its PrepLadder team, which it acquired in 2020, along with some sales personnel. The company framed the move as a result of a performance improvement program, denying it was a layoff, but the context points to broader cost-cutting efforts. This followed a larger round earlier in 2022, where Unacademy let go of around 600 employees (10% of its workforce) to reduce cash burn. The actions come amid a "funding winter" for Indian startups, a normalization of post-pandemic demand for online education, and significant financial pressures, as the company's net loss widened to Rs 1,537 crore in FY21 despite revenue growth.

Finite State laid off 16 employees representing approximately 20% of its workforce on 2022-06-17.

Bytedance laid off 150 employees on 2022-06-17.

Socure laid off 69 employees representing approximately 13% of its workforce on 2022-06-17.

Tesla layoffs reportedly affect hourly workers, too, as reported in the article.

PharmEasy, an Indian health-tech startup preparing for an IPO, laid off approximately 40 full-time employees from its subsidiary Docon Technologies in late April 2022. This represents a small fraction of its overall workforce, as the company had recently shifted many other Docon employees to different entities within its parent group, API Holdings. The layoffs, primarily affecting sales roles like business development managers, were part of a restructuring effort after Docon, an electronic medical record solutions provider, struggled to scale revenue and remained loss-making. PharmEasy is consolidating operations under the PharmEasy One brand and aiming for profitability ahead of its public listing, reflecting broader cost-cutting trends in the Indian startup ecosystem that year.

In June 2022, online rental platform Zumper laid off approximately 45 employees, representing 15% of its roughly 300-person workforce. The San Francisco-based startup, operating in the proptech industry, made the cuts primarily in sales, customer service, and art departments, citing budget constraints amid broader economic challenges. The layoffs occurred as rising interest rates and inflation dampened venture capital investment, affecting numerous tech and real estate firms. Despite being a privately held company in the resilient residential rental segment, Zumper joined the wave of tech layoffs as market conditions forced a strategic pullback in spending.

In June 2022, on-demand grocery delivery startup JOKR announced its exit from the U.S. market, ceasing operations in New York and Boston to concentrate on Latin America. This strategic shift resulted in layoffs affecting approximately 50 employees from its 950-person office staff, representing about 5% of its workforce. The company stated that the U.S. market had only contributed around 5% of its business, deeming it a differently structured opportunity compared to the vast potential in Latin America's $1.2 trillion retail market. JOKR, which had achieved unicorn status with a $1.2 billion valuation, decided to reallocate investments to expand its footprint and service offerings in Latin America, where online grocery penetration was still below 10%. The closure involved nine micro-fulfillment centers in the U.S. out of its global network of roughly 200.

Circulo Health representing approximately 50% of its workforce on 2022-06-16.

Weee!, the SoftBank-backed online grocer specializing in Asian and Hispanic foods, laid off approximately 150 employees in late June 2022, representing about 10% of its workforce. The cuts primarily targeted corporate roles, including nearly the entire marketing team, and coincided with the departure of several top executives, including the CFO. CEO Larry Liu framed the move as a strategic reorganization to extend the company's financial runway by an additional year as it prepares for a potential IPO, rather than a direct reaction to economic pressures. Despite recently raising $425 million at a $4.1 billion valuation and doubling its revenue to $400 million the previous year, Weee! is navigating a broader slowdown in e-commerce and a tightening funding environment, mirroring retrenchments seen across the grocery delivery industry.

Wealthsimple laid off 159 employees representing approximately 13% of its workforce on 2022-06-15.

Crehana on 2022-06-15.

Swappie laid off 250 employees representing approximately 17% of its workforce on 2022-06-15.

OpenWeb, an Israeli media engagement platform formerly known as Spot.IM, announced a streamlining plan on June 15, 2022, which includes laying off 14 development staff in Israel. This represents about 4.7% of its total workforce of 300 employees. The company is relocating its headquarters from Israel to New York, prompting these layoffs, with plans to hire 14 replacements in the U.S. Additionally, the plan involves reducing the work week to four days for 100 development staff in Israel, with potential salary cuts later in the year for those not meeting targets. These measures aim to prepare OpenWeb for an expected global economic slowdown and a potential IPO in 2023 or 2024. Operating in the digital media and technology industry, OpenWeb had recently raised $150 million at a valuation exceeding $1 billion, serving over 1,000 publishers with its platform.

Swyft, a Shopify-backed ecommerce delivery startup based in Toronto, laid off 10 employees, representing roughly 30% of its 34-person workforce, in June 2022. The company, which provides same-day local delivery for brands like Knix and Lush, made the cuts to hyper-focus on its core business and preserve cash, aiming to extend its operational runway to two years. This move reflects a broader trend of belt-tightening among tech startups, as companies adjust to an uncertain economic and funding environment after a period of rapid growth fueled by venture capital.

Notarize laid off 110 employees representing approximately 25% of its workforce on 2022-06-15.

Israeli website building tools company Elementor has laid off 60 employees, representing 15% of its workforce, in response to an expected global economic slowdown marked by rising inflation and a pending recession. The layoffs, announced on June 15, 2022, primarily affect the marketing department, while engineering and development staff remain largely unaffected. This restructuring aims to enhance business efficiency and secure long-term growth, coming shortly after the company acquired startup Strattic and integrated its 16 employees. Elementor, which develops a popular WordPress plugin, had raised $50 million the previous year, bringing total funding to $66 million.

Tonkean, an enterprise software startup, laid off 23 employees on June 15, 2022, representing approximately 23% of its workforce. Prior to the cuts, the company employed a total of 100 people, with 49 based in Israel and the remainder in the United States. The layoffs affected 11 employees in Israel and 12 in the U.S. This workforce reduction reflects broader challenges and restructuring efforts within the tech startup sector.

JetClosing representing approximately 100% of its workforce on 2022-06-15.

Breathe Well-being, a Gurugram-based healthtech startup focused on diabetes reversal, has laid off approximately 50 employees, representing nearly 30% of its workforce, in recent weeks. The company, which had around 170 employees, was forced to cut costs due to significant financial losses and an inability to secure new funding. This move follows aggressive hiring earlier in the year in anticipation of investment that never materialized, leading to rescinded job offers for new hires as well. The layoffs, occurring in mid-2022 amid a broader economic downturn, affected various departments including sales, operations, and tech. Backed by Accel and other investors, Breathe Well-being highlights the challenges faced by startups in sustaining growth without continuous capital infusion.