🌎 San Francisco Bay Area, Atlanta ∙ 👩 300 employees (18%) ∙ 🖥 All departments
Samsara, which makes Internet-connected sensors that help industrial companies optimize their operations, laid off 300 employees yesterday (18%). The company also raised $400 million at a lower valuation ($5.4 bn) than the one from its September raise ($6.3 bn).
Samsara blamed the economic downturn for its layoff without specifying details, though its down round suggests that the company was operating without enough cash to last through the pandemic.
The company is also implementing other cost-cutting measures such as slashing executive salaries by 30% for the rest of the year, cutting non-essential spending, and freezing hiring for 6 months.
Following the example set by Airbnb and Uber, Samsara launched an official alumni talent directory (see link below 👇 ). The Samsara layoff list features 100 ex-employees, mostly in the Bay Area.
On Monday, Uber laid off 3,000 additional employees on top of the 3,700 employees cut two weeks ago. In a memo to the team, Uber’s CEO alluded to the creation of a public alumni talent directory as part of the company’s efforts to support departing employees.
That alumni directory is now live. Similar to the official Airbnb layoff list, Uber’s version allows recruiters and hiring managers to filter laid-off employees by location and role. Additional details include whether the person is open to relocation and/or remote work, and any experience managing people.
See below link 👇for the official Uber layoff list, as well as an unofficial Uber layoffs list that we posted previously.
🌎 San Francisco Bay Area ∙ 👩 35 employees (15%) ∙ 🖥 Engineering
Ridecell, an operations platform for ride-sharing companies, laid off 35 employees (15%) last Thursday, according to a laid-off employee. Its customers are presumably struggling right now due to the nationwide lockdowns.
🌎 New York City ∙ 👩 28 employees (25%) ∙ 🖥 All departments
Cadre, an online marketplace for commercial real estate investments, laid off 28 employees (25%) last week. The company, which makes money in part from up-front transaction fees, has been hurt by the sudden slowdown in the real estate market. Cadre is offering laid-off employees health insurance through the end of 2020 and an extension of the post-termination exercise period on vested stock options to two years.
See link below 👇for an opt-in list of employees laid off across Cadre’s sales, product, engineering, people, and finance departments.
In conjunction with the layoff, Uber is also closing down 45 offices, winding down its product incubator and AI labs, pursuing strategic alternatives for Uber Works, and re-evaluating its self-driving units.
Nationwide shelter-in-place orders have hammered Uber’s ridesharing business. Its core business has fallen around 80% during the pandemic. Meanwhile, growth from Uber’s food delivery business has not been enough to offset the decline.
Uber previously told staff that laid-off employees would receive 10 weeks of severance pay and healthcare coverage through the end of 2020.
In addition to the 6,700 employees let go by Uber this month, the company has also cut 536 employees from Middle East subsidiary Careem, as well as all 400-500 employees from e-scooter subsidiary Jump.
See link below 👇for an existing unofficial list of 400+ employees laid off from Uber, mostly from the May 5 layoff. Expect this list to grow a lot bigger in the coming days.
Finally, some long-awaited good news: the number of newly-reported startup layoffs has been steadily declining for the past 5 weeks, today’s Uber layoff not withstanding. After a coronavirus record of 99 startups conducted layoffs in the first week of April, this past week saw only 22 startups cut jobs, a decline of 78%.
Unfortunately, the number of employees laid off has not benefited from a similar trend. During that same 5-week period, the number of new employees laid off per week dropped from 7,692 to 6,562, a decline of just 15%.
In fact, 4 of the 10 biggest tech layoffs since COVID-19 have occurred in just the past two weeks.
# Laid Off
In the early weeks of the coronavirus pandemic, smaller cash-strapped startups were the first to conduct layoffs to avoid going out of business. Later-stage startups and recently-public tech companies had more buffer to hold off on layoffs due to their larger cash reserves. At the time, smaller travel startups like Lola, Remote Year, and WanderJaunt were laying off dozens of employees each even though the likes of Airbnb and TripAdvisor hadn’t yet cut staff.
Two months into nationwide lockdowns, these bigger tech companies couldn’t keep holding off. They’ve now also had enough time to properly budget, plan, and execute their layoffs, something that takes longer at a 4,000-person company than a 40-person one. Small wonder that in the first half of May, it’s felt like dominoes falling when it comes to late-stage startup layoffs.
The media has also started selectively covering only the bigger startup layoffs, as layoffs have gotten too frequent to keep up. We’re still trying, though! The Layoffs.fyi Tracker has counted 430+ startups that have laid off 50,000+ employees since the coronavirus was declared a pandemic, though there are hundreds more layoffs that haven’t been reported publicly.
Uber just announced another mass layoff today, and WeWork expects to continue performing rolling layoffs through the end of the month. But once the smoke clears from those layoffs, will we finally see some ecosystem renewal? Here’s hoping.
🌎 New York City ∙ 👩 At least 10 employees ∙ 🖥 All departments
Petal, which offers credit cards to people who may not have a credit score yet, conducted a layoff last week. It’s unclear how many employees were affected, but a Google spreadsheet of team members looking for new roles lists at least 10 people (see link below 👇).
Submittable, which helps organizations collect and review applications online, laid off 30 employees (20%) in late April. It had 2,000 clients tied to universities, which have been shutting down operations due to COVID-19. The company’s CEO said that the longer the company held off on its layoff, the less severance it would’ve been able to offer. Laid-off employees will receive 1-2 months of severance pay.
See link below 👇for an opt-in list of employees laid off in Missoula, most of which are open to either relocation and/or remote work.
This past week saw layoffs from a number of notable startups, including 4(!) data analytics companies (Mixpanel, Segment, Mode Analytics, and ThoughtSpot).
Check out our tracker for a more comprehensive list. If you’ve seen a layoff spreadsheet for any of these companies, please let us know!
🏢 Stone ∙ 🌎 Sao Paulo ∙ 👩1,300 employees (20%) ∙ 🔗Source
A Brazilian payments processor, Stone has seen a decline in the volume of credit and debit card transactions processed by the company. Warren Buffett’s Berkshire Hathaway owns 8% of Stone, which held a hotly-anticipated IPO in 2018.
🏢 Jump ∙ 🌎 New York City ∙ 👩500 employees (100%) ∙ 🔗Source
As part of Uber’s $170 million investment in Lime, Uber is offloading money-losing subsidiary Jump, an e-bike and e-scooter startup it acquired in 2018. Reports suggest that all 400-500 Jump employees were laid off, though some were offered interview opportunities at Lime.
🏢 Glassdoor ∙ 🌎 SF Bay Area ∙ 👩 300 employees (30%) ∙ 🔗Source
An online job board, Glassdoor is the latest recruiting startup to announce layoffs. ZipRecruiter, Greenhouse, Lever, and Triplebyte have all made cuts in recent weeks due to the slowing pace of hiring across the country. Affected employees will receive at least 3 months of severance, accelerated vesting through the severance period, and reimbursed health insurance through the end of 2020.
🏢 Flatiron School∙ 🌎 New York City ∙ 👩 100 employees (31%) ∙ 🔗Source
A coding bootcamp acquired by WeWork in 2017, Flatiron School is closing its Atlanta and London campuses, as well as its design program, in conjunction with the layoff. The cuts were focused on Flatiron School’s design and marketing teams, and come on top off the thousands already laid off by parent company WeWork.
🏢 Zeus Living∙ 🌎 New York City ∙ 👩 73 employees (50%) ∙ 🔗Source
A corporate housing startup, Zeus Living’s 50% layoff comes two months after it already laid off 30% of its team. Last week the company was forced to raise funding at almost half its valuation from December. The company expects revenue to decline by 45% due to the slowdown of business travel caused by COVID-19.
🏢 Mixpanel∙ 🌎 SF Bay Area ∙ 👩 65 employees (19%) ∙ 🔗Source
An analytics tool that measures user engagement, Mixpanel’s layoff spanned across sales, marketing and G&A positions. No roles in engineering, product, or design were affected. Half of the layoffs were in San Francisco.
SalesLoft said that the users of its sales engagement software have been getting laid off, causing SalesLoft itself to do a layoff. The event is an example of the second-order effects of the economic fallout caused by the coronavirus.
🏢 Segment∙ 🌎 SF Bay Area ∙ 👩 50 employees (10%) ∙ 🔗Source
A data analytics startup, Segment cited economic conditions as the reason for its layoff, but did not elaborate further.
🏢 Cadre∙ 🌎New York City ∙ 👩 28 employees (25%) ∙ 🔗Source
An online marketplace for commercial real estate investments, Cadre has been hurt by the sudden slowdown in the real estate market. The company is offering laid-off employees health insurance through the end of 2020 and an extension of the post-termination exercise period on vested stock options to two years.
🏢 Kickstarter∙ 🌎 New York City ∙ 👩 25 employees (18%) ∙ 🔗Source
A crowdfunding platform, Kickstarter lost not only the 25 employees it laid off, but also an additional 30 employees that accepted its voluntary separation package. One of the few tech companies whose employees are unionized, Kickstarter is offering departed employees 4 months of severance, 4-6 months of health insurance, a release from non-compete obligations, and priority consideration if the eliminated position re-opens within a year.
🏢 Mode Analytics∙ 🌎 SF Bay Area ∙ 👩 17 employees ∙ 🔗Source
A business intelligence tool, Mode Analytics laid off 17 employees across sales, marketing, support, engineering, product, and recruiting.
🌎 SF Bay Area ∙ 👩 28 employees (23%) ∙ 🖥 All departments
Tally, which helps users manage multiple credit cards, laid off 28 employees (23%) last Monday, according to an internal memo reviewed by Layoffs.fyi. In addition to severance pay, Tally is offering laid-off employees reimbursed health insurance through the end of 2020, an extension of the post-termination exercise period on vested stock options to one year, and a six-month subscription to LinkedIn Premium.
If you’re recruiting in San Francisco, see link below 👇for a list of employees laid off across Engineering, Design, People Operations, and a few other functions.