Layoff Events

In April 2020, Canadian receipt management startup Sensibill laid off approximately 17 to 18 employees, representing about one-fifth of its workforce. The company cited a restructuring plan made necessary by the economic impacts of the COVID-19 pandemic. The layoffs, which occurred on April 1, were communicated internally the same day, but the company did not publicly announce them, leaving some former employees confused. Despite the cuts, Sensibill indicated it continued to hire selectively in certain areas like business development and IT. Shortly after the layoffs, the company secured $5 million in growth-focused debt financing from CIBC Innovation Banking, which was not tied to the restructuring.

Showpad laid off 52 employees representing approximately 12% of its workforce on 2020-04-01.

Aqua Security laid off 24 employees representing approximately 9% of its workforce on 2020-04-01.

Wonolo laid off 46 employees representing approximately 13% of its workforce on 2020-04-01.

In March 2020, data protection and disaster recovery startup Zerto laid off a significant number of employees, described by a source as a "ton," as part of a restructuring to ensure financial viability during economic uncertainty. The company, founded in 2009 and with $129 million in funding, stated it needed to streamline its core business and reduce operating expenses to weather the storm and achieve profitability. While exact figures on the layoff count and total workforce were not disclosed, the move reflected the broader challenges faced by tech startups in maintaining cash flow amid growth and market pressures.

In early April 2020, AngelList, a major platform connecting angel investors, startups, and job-seekers in the tech industry, conducted a round of layoffs. The company, which managed roughly $1.8 billion in assets, did not disclose the exact number of employees affected, but the cuts were described as sizable and primarily impacted its talent division that matches candidates with startups. The layoffs were a direct response to the economic downturn and widespread hiring freezes among tech startups, which reduced demand for AngelList's recruitment services. Alongside the staff reductions, executive salaries were also cut across all departments as a cost-saving measure to ensure the company's sustainability during the crisis. Despite the cuts, AngelList stated its talent network, used by over 100,000 companies, would continue operating with a leaner team.

uShip laid off 65 employees representing approximately 37% of its workforce on 2020-03-31.

Zenoti laid off 17 employees representing approximately 4% of its workforce on 2020-03-31.

KeepTruckin, a company providing fleet management software for the trucking industry, has laid off 349 employees, representing 18% of its workforce. The cuts, announced today, primarily affect sales and business roles. This marks the company's second round of layoffs in just one month. KeepTruckin cites an expected slowdown in new customer acquisition and churn among existing customers, as smaller trucking companies are going out of business, as the reason for the restructuring.

Last month, Turo, a car-sharing company, laid off 108 employees, which represents 30% of its workforce. The layoffs affected all departments and were a direct result of the COVID-19 pandemic, as shelter-in-place orders drastically reduced consumer demand for car rentals. This downturn has similarly impacted competitors like Getaround and Zipcar, highlighting widespread challenges in the sharing economy during the crisis.

Rover laid off 194 employees representing approximately 41% of its workforce on 2020-03-31.

Kazoo representing approximately 35% of its workforce on 2020-03-31.

Adara, a company specializing in enterprise data platforms for intelligence sharing, recently underwent a layoff event, as indicated by a heartfelt post from Charles Mi. While the exact number of employees affected and the total workforce size were not specified, the announcement reflects a difficult decision to part ways with talented individuals dedicated to building the company's data platform. The layoffs appear to be driven by strategic adjustments, though the precise context or date is not detailed in the post. Operating in the data and AdTech industry, Adara's scale is implied through references to its platform development, but specific metrics remain undisclosed. The emotional tone of the message underscores the challenges faced by the team during this transition.

SkySlope laid off 50 employees representing approximately 25% of its workforce on 2020-03-31.

In early April 2020, the online advertising and retargeting company NextRoll, formerly known as AdRoll, laid off 30% of its global workforce, affecting 210 employees out of a total of 700. This significant reduction, alongside 20% pay cuts for remaining staff and deeper cuts for executives, was a direct response to the economic turmoil caused by the COVID-19 pandemic. The company, which serves small to medium-sized ecommerce and apparel businesses heavily impacted by lockdowns, took these measures to ensure long-term financial stability. CEO Toby Gabriner cited the unprecedented challenges of the pandemic, emphasizing the need to support both employees and customers through the crisis.

Cuyana on 2020-03-30.

In late March 2020, the California-based healthcare cannabis startup Caliva laid off 20 corporate employees, a move attributed to the economic impact of the COVID-19 pandemic. The layoffs, which represented an unspecified portion of the company's workforce, primarily affected the retail-management division and included senior executive Elizabeth Cooksey. Despite cannabis being deemed essential in California, the company cited a dramatic drop in retail traffic due to shelter-in-place orders and social distancing measures as the reason for the cuts. This event occurred as the industry faced significant headwinds, with Caliva adjusting its strategy by ending a delivery partnership and focusing on direct operations.

Budget hotel chain FabHotels laid off approximately 80 employees on March 30, 2020, as the COVID-19 pandemic severely impacted the travel and hospitality industry. This reduction affected about 20% of its roughly 400-person workforce, with cuts in operations and sales roles. Additionally, the company implemented salary reductions of 15-25% across all remaining staff, including co-founders, to conserve cash. The layoffs and pay cuts reflect the broader crisis hitting Indian startups in the sector, with FabHotels warning of further job losses if conditions did not improve by early May.

Hibob, a human resources software company, laid off approximately 20% of its workforce, affecting around 40 employees out of a total of roughly 200. The layoffs occurred in early 2023 as part of a strategic restructuring to streamline operations and improve efficiency amid broader economic pressures in the tech industry. The company, which provides HR and people management platforms, operates on a global scale, serving small to medium-sized businesses. This move reflects a trend of workforce adjustments within the SaaS and HR tech sectors during that period.

Catalant laid off 30 employees on 2020-03-30.

Thumbtack, a San Francisco-based online marketplace connecting customers with local service professionals, laid off 250 employees last week, representing 30% of its workforce. The cuts impacted all departments, with sales, people operations, engineering, design, and analytics teams in San Francisco and Salt Lake City being most affected. The company cited a severe business downturn due to the COVID-19 pandemic, with shelter-in-place orders causing its business to fall by over 50% in many markets. This significant reduction highlights the challenges faced by the gig economy and local services industry during the crisis.

Maven laid off 31 employees representing approximately 9% of its workforce on 2020-03-30.

RigUp laid off 120 employees representing approximately 25% of its workforce on 2020-03-30.

Loftsmart, a student housing rental platform, laid off approximately 20 employees in early 2024, representing a significant portion of its workforce. The company, operating in the proptech industry, cited a strategic restructuring to streamline operations and focus on core business areas amid challenging market conditions. This reduction impacted various teams as the startup adjusted its growth strategy.

PeerStreet, a Los Angeles-based fintech startup that operates a crowdfunding platform for real estate loans, laid off over 50 employees yesterday, representing 30% of its workforce. The cuts impacted all departments, making it one of the first notable fintech layoffs following the COVID-19 pandemic. This move reflects broader economic pressures affecting the tech and real estate investment sectors, as the company adjusts its operations in a shifting market environment.

Iris Nova, a direct-to-consumer beverage startup backed by Coca-Cola, laid off half of its workforce in late March 2020 as the COVID-19 pandemic severely impacted its retail and wholesale operations. The company, known for brands like Dirty Lemon, let go nine employees, which represented 50% of its staff at the time. This drastic cut was a direct response to the near-total collapse of its brick-and-mortar and hospitality partnerships, which had constituted nearly half of its business, following widespread shutdowns of non-essential businesses. While the company's direct-to-consumer sales via text messaging surged during the pandemic, the sudden loss of revenue from retail channels forced this restructuring to focus resources on its core DTC delivery model.

Starship Technologies laid off 30 employees on 2020-03-30.

Polarr, a photo editing software company, laid off an unspecified number of employees in late March 2020, as detailed by founder Derek Yan in a personal blog post. The layoffs occurred during the week of March 23rd, which Yan described as the most difficult week of his professional career, driven by the economic pressures and uncertainty of the early COVID-19 pandemic. While the exact scale, percentage of workforce affected, and total employee count were not disclosed, the event was framed within the broader tech industry's challenges during the global crisis, impacting the small to mid-sized company. Yan reflected on the emotional difficulty of the decision, drawing parallels to past layoffs he witnessed at General Motors and Altera.

Amplero laid off 17 employees representing approximately 100% of its workforce on 2020-03-29.

ZipRecruiter laid off 400 employees representing approximately 39% of its workforce on 2020-03-29.

WeWork laid off 250 employees on 2020-03-28.

Rent the Runway, a popular online clothing rental company, laid off its entire retail workforce in late March 2020 due to the severe uncertainty caused by the coronavirus pandemic. The company, which operates physical stores in several major U.S. cities, was forced to close all locations as government restrictions were enacted. During a brief Zoom call, executives stated the business needed to dramatically reassess operations to survive, eliminating all retail roles as there was no visibility into when stores could reopen. This heartbreaking decision impacted the company's brick-and-mortar employees, who were immediately cut off from company systems. The affected staff received their final paychecks, severance, and extended health benefits as the fashion rental industry grappled with the unprecedented crisis.

Travel tech startup TravelTriangle laid off approximately 250-300 employees, representing about 50% of its workforce of around 600, in late March 2020 due to the severe impact of the COVID-19 pandemic. The travel and hospitality industry faced a near-total halt in business, forcing the company to conserve resources. Affected roles included operations, marketing, customer support, and business development. This move marked one of the first major layoffs in India's travel sector during the crisis, with concerns that further job cuts might follow if conditions did not improve.

In March 2020, Vancouver-based FinTech startup Bench laid off 47 employees, representing 10% of its then 460-person workforce, due to a severe pandemic-driven sales drop. The company restructured financially, cutting executive pay and pivoting to help U.S. small businesses secure PPP loans. This shift doubled sales, allowing Bench to rehire 17 of the laid-off staff and hire 52 new employees by mid-June. Operating in the financial technology industry, Bench, founded in 2013 and backed by $53 million in venture funding, automates accounting for small businesses.

Blueground, an apartment rental startup in the real estate industry, laid off 130 employees last week, representing 25% of its workforce. The cuts primarily affected business roles across major U.S. cities including New York, San Francisco, Los Angeles, and Chicago. This move aligns with broader trends among real estate startups facing operational challenges during the coronavirus pandemic.

ThirdLove, a direct-to-consumer lingerie brand, laid off an unspecified number of employees in March 2020 as part of broader workforce reductions during the COVID-19 pandemic. The layoffs were driven by the severe economic downturn and shifting consumer behavior, which heavily impacted retail and e-commerce sectors. While the exact number of affected employees and the percentage relative to the total workforce were not detailed in the provided content, the cuts reflect the widespread financial pressures companies faced during the early stages of the global health crisis. ThirdLove, known for its online-focused business model and inclusive sizing, was among many retail brands forced to restructure operations to navigate the unprecedented market challenges.

Bevi laid off 30 employees representing approximately 20% of its workforce on 2020-03-27.

Getaround laid off 100 employees representing approximately 25% of its workforce on 2020-03-27.

Pivot3, a hyperconverged infrastructure startup, conducted significant layoffs in late March 2020 as a cost-cutting measure in response to the COVID-19 pandemic. The company cited extraordinary economic strains, with customer timelines slipping and decisions suspended due to the global slowdown. While the exact number of employees affected was not disclosed, reports indicated mass layoffs at the firm, which had around 250 employees listed on LinkedIn at the time. Operating in the competitive IT infrastructure industry, Pivot3 aimed to preserve resources and maintain support for mission-critical customer deployments amid uncertain market conditions.

In March 2020, Singapore-based streaming service HOOQ filed for liquidation, effectively shutting down its operations and resulting in the layoff of its entire workforce. The company, a joint venture between Singtel, Sony Pictures, and Warner Bros, had amassed 80 million users across Southeast Asia and India. Despite raising $95 million, HOOQ struggled to achieve a sustainable business model in the competitive over-the-top (OTT) video streaming industry. It cited escalating content costs, the trend of content providers going direct to consumers, and slow growth in subscriber willingness to pay in emerging markets as key reasons for its failure. The liquidation marked the end of the independent platform, which could not secure further investment or cover its operating costs.

DataRobot laid off 200 employees on 2020-03-27.

Flexible workspace provider Knotel has laid off or furloughed half of its 400 global employees as it restructures to endure the coronavirus pandemic's severe economic impact. On March 27, 2020, the company cut 30% of its staff (127 employees) and furloughed an additional 20% (68 employees), with the reductions evenly spread across all 17 markets, including major hubs like New York and London. CEO Amol Sarva cited the crisis as a fundamental shift, noting that over 80% of clients had shifted to remote work, prompting Knotel to pivot its 5 million square feet of leased space for potential government emergency use. This move followed an earlier round of layoffs in January, reflecting the profound challenges facing the commercial real estate and flexible office industry during the outbreak.

Restaurant365, an Irvine, California-based provider of cloud-based software for the restaurant and hospitality industry, conducted a significant layoff this week, affecting a substantial portion of its workforce. While the company did not disclose the exact number, CEO Tony Smith indicated it was "a big chunk" but not half of the staff, which previously totaled about 400 employees. The layoffs, which included sales staff and others, were driven by a severe downturn in the restaurant industry due to COVID-19, with the company reporting a 75% year-over-year decline in customer sales. As restaurants close or scale back, demand for Restaurant365's accounting, inventory, and scheduling software has plummeted, forcing the company to reduce its headcount to sustain operations. The notifications were delivered via live video conference, reflecting the difficult circumstances faced by the industry.

Opal laid off 20 employees on 2020-03-27.

In January, amidst the ongoing challenges of the COVID-19 pandemic, Bird, an electric scooter company based in Los Angeles, laid off 406 employees, representing 30% of its workforce across all departments. The company, which had already paused services in numerous markets due to the pandemic, is part of an industry severely impacted by reduced urban mobility and economic uncertainty. This move reflects broader struggles within the scooter-sharing sector, as competitors like Lime also implemented significant layoffs during this period.

DISCO laid off 75 employees on 2020-03-27.

Zipcar, the car-sharing service, laid off hundreds of employees last week, representing 20% of its total workforce. The cuts impacted all departments but were notably concentrated in engineering, product, and design roles. This significant reduction is part of broader restructuring efforts within the mobility and rental industry as companies navigate shifting market demands. Based in Boston, Zipcar operates as a mid-to-large scale company in the transportation and technology sector.

Everlane, the clothing retailer known for its "radical transparency" and ethical branding, has conducted significant layoffs amid the COVID-19 pandemic, despite earlier assurances to staff about the company's strength. The layoffs affected 42 out of 57 remote "customer experience" workers who were unionizing, along with 180 part-time retail employees, while 68 full-time retail staff were furloughed. Additionally, eight temporary workers were laid off with minimal notice. CEO Michael Preysman cited depressed online sales and store closures as reasons, taking a zero salary himself while senior leadership reduced theirs by 25%. The layoffs occurred in early 2020, impacting the retail industry, with Everlane operating as a mid-scale ethical fashion brand.

Oh My Green laid off 40 employees on 2020-03-27.

OneWeb, a UK-based satellite internet startup, filed for Chapter 11 bankruptcy on March 27, 2020, after its largest investor, SoftBank, declined to provide additional funding amidst the financial turmoil caused by the COVID-19 pandemic. As part of the bankruptcy process, the company laid off approximately 85% of its workforce, which amounted to about 451 employees out of a total of 531. The pandemic disrupted OneWeb's advanced negotiations for crucial financing needed to complete its ambitious global broadband constellation, which had already placed 74 satellites in orbit. With total liabilities of $2.1 billion and significant debts to creditors like Arianespace, the company's inability to secure further investment led to this drastic restructuring in the competitive satellite communications industry.