Layoffs Roundup: Thurs 6/4/20

Here’s a recap of the startup layoffs from this past week. If you’ve seen a layoff spreadsheet for any of these companies, please let us know!

See the Tracker for a comprehensive list of all startup layoffs since COVID-19.

🏒 Stitch Fix βˆ™ 🌎 SF Bay Area βˆ™ πŸ‘© 1,400 employees (18%) βˆ™ πŸ”—Source

  • An online personal styling service, Stitch Fix said it will lay off 1,400 stylist employees in California between now and the end of September. It plans to replace these employees by hiring 2,000 stylists in lower-cost cities over the coming year. Laid-off employees will have the opportunity to relocate; those who don’t will receive 2 weeks or more of severance, extended healthcare, and a bonus for staying through the transition period.

🏒 TrueCar βˆ™ 🌎 Los Angeles βˆ™ πŸ‘© 219 employees (30%) βˆ™ πŸ”—Source

  • An automotive pricing website, TrueCar says the cuts come in anticipation of the termination of its revenue-sharing partnership with USAA. The timing and scope of the layoff was further accelerated by COVID-19. Laid-off employees will receive 13 weeks of base pay plus 1 week for each additional year of service beyond the first, along with healthcare coverage through 2020.

🏒 Monzo βˆ™ 🌎 London βˆ™ πŸ‘© 120 employees (8%) βˆ™ πŸ”—Source

  • A London-based digital bank, Monzo is laying off 120 of its U.K. employees. This comes on top of the 165 employees it laid off when it shut down its Las Vegas customer support office in April. The company also previously furloughed 295 U.K. employees. As consumers pull back on spending, Monzo generates less revenue from the interchange fees on its debit card products.

🏒 Kitty Hawk βˆ™ 🌎 SF Bay Area βˆ™ πŸ‘© “Most of” a 70-person team βˆ™ πŸ”—Source

  • Backed by Google co-founder Larry Page, Kitty Hawk is shutting down its electric flying car initiative and laying off most of that team’s 70 employees. However, the company is still working on a different autonomous electric aircraft initiative. Laid-off employees will receive at least 20 weeks of severance based on tenure, along with health insurance coverage through the end of the year.

🏒 Acorns βˆ™ 🌎 Portlandβˆ™ πŸ‘© 55 employees βˆ™ πŸ”—Source

  • Last week, Portland Business Journals reported that Acorns was shutting down its Portland office. A source tells that over 55 employees were laid off as well, and that the support team was offshored. According to the source, Acorns closed both its Portland and Delaware offices and laid off most of its staff in New York.

🏒 Rivian βˆ™ 🌎 Detroit βˆ™ πŸ‘© 40 employees (2%) βˆ™ πŸ”—Source

  • An electric vehicle company, Rivian confirmed it laid off 40 employees in its Plymouth, Michigan office. One laid-off employee tells that the actual number may be higher. In another example of differing accounts, The Verge reported that “former employees say they believe the cuts were related to the stresses of the COVID-19 pandemic, though Rivian says they were performance-based.”

🏒 SpotHero βˆ™ 🌎 Chicago βˆ™ πŸ‘© 40 employees (21%)βˆ™ πŸ”—Source

  • An app that helps people find parking spots, SpotHero has now reduced its staff by 70 employees across two rounds of layoffs since March. Parking solutions are in less demand now that people are staying at home.

🏒 Fundbox βˆ™ 🌎 SF Bay Area βˆ™ πŸ‘© 14 employees (15%) βˆ™ πŸ”—Source

  • A small business lending company, Fundbox announced a $20 million extension to its $326 million Series C in conjunction with the layoff. The company is also cutting management salaries by an unspecified amount. Fundbox says the COVID-19 crisis has harmed small and medium-sized businesses, which form the core of the company’s customer base.

🏒 MakerBot βˆ™ 🌎 New York City βˆ™ πŸ‘© 12 employees

  • A creator of 3D printers, MakerBot laid off a dozen employees amid declining revenues caused by school closures, according to an internal memo viewed by MakerBot’s layoff was part of a broader staffing cut by parent company Stratasys, which is laying off 240 employees in total.

Drone startup AirMap conducts layoff

🌎 Los Angeles, Austin βˆ™ πŸ‘© At least 13 employees βˆ™ πŸ–₯ All departments

AirMap, an airspace services platform for unmanned aircraft, announced that it was reducing staff and cutting non-core initiatives. Two sources tell that around 30% of the team was let go. One laid-off employee says that 28 people were affected, and that the layoffs are effective as of May 15.

See link below πŸ‘‡ for an opt-in spreadsheet of 13 employees laid off, including 9 engineers in Santa Monica and Austin.

Our live Layoffs Tracker has a real-time report of all startups that have done layoffs.

Layoffs Roundup: Mon 3/30/20

Since Thursday, unicorn startups ZipRecruiter, WeWork, Knotel, Getaround, and OneWeb have each laid off hundreds of employees, and over 20 startups in total have cut jobs.

Below are a few of the recent layoffs. Check out our Layoffs Tracker for a comprehensive, real-time report. If you’ve seen a layoff spreadsheet for any of these companies, please let us know!

  • ZipRecruiter, the online hiring marketplace, laid off over 400 employees (39%). The company has seen its customers drastically slow down hiring and expects to miss revenue projections.
    • 🌎 Santa Monica βˆ™ πŸ‘©β€πŸ’Ό 400 employees (39%) βˆ™ πŸ”—WSJ
  • WeWork, the co-working company, laid off 250 employees. This follows a previous round of layoffs in November, but is supposedly unrelated to the coronavirus pandemic.
    • 🌎 New York City βˆ™ πŸ‘©β€πŸ’Ό 250 employees βˆ™ πŸ”—Reuters
  • Everlane, an e-commerce site for luxury clothing, laid off or furloughed 200 workers, primarily in their retail and backend operations functions.
    • 🌎 San Francisco βˆ™ πŸ‘©β€πŸ’Ό 200 employees βˆ™ πŸ”—WWD
  • Knotel, which leases office space to companies, laid off 127 employees (30%) and furloughed an additional 68 employees (20%). The layoffs affected multiple departments and locations. Real estate startups like Knotel continue to suffer due to the coronavirus pandemic.
    • 🌎 New York City βˆ™ πŸ‘©β€πŸ’Ό 127 employees (30%) βˆ™ πŸ”—Commercial Observer
  • Getaround, the car sharing startup, laid off 100 employees (25%). This follows a previous round of layoffs in January. Getaround is suffering from both the coronavirus pandemic as well as a pullback in funding from its main backer, Softbank.
    • 🌎 San Francisco βˆ™ πŸ‘©β€πŸ’Ό 100 employees (25%) βˆ™ πŸ”—BizJournals
  • OneWeb, which builds satellites that provide internet access, filed for bankruptcy and announced layoffs. It said it had failed to secure further funding.
    • 🌎 London βˆ™ πŸ‘©β€πŸ’Ό Hundreds of employees βˆ™ πŸ”—BBC
  • Zipcar, the rental car company, laid off 20% of staff. The travel industry continues to be disrupted by the coronavirus.
    • 🌎 Boston βˆ™ πŸ‘©β€πŸ’Ό Hundreds of employees (20%) βˆ™ πŸ”—BostonInno
  • Restaurant365, which makes restaurant management software, laid off a “big chunk” of its 400 employees. It has seen a 75% decline in YoY sales.
    • 🌎 Irvine βˆ™ πŸ‘©β€πŸ’ΌUnknown # affected βˆ™ πŸ”—Crunchbase News
  • Textio, which helps companies write better job descriptions, laid off 30 employees (20%).
    • 🌎 Seattle βˆ™ πŸ‘©β€πŸ’Ό 30 employees (20%) βˆ™ πŸ”—Geekwire
  • B8ta, a retailer for consumer electronics and home goods, laid off over half of its corporate staff and furloughed its retail employees.
    • 🌎 San Francisco βˆ™ πŸ‘©β€πŸ’Ό 50% of corporate employees βˆ™ πŸ”—Retail Dive
  • Pivot3, which develops hyperconverged infrastructure, laid off a significant portion of its 250 employees.
    • 🌎 Austin βˆ™ πŸ‘©β€πŸ’Ό Unknown # affected βˆ™ πŸ”—Blocks and Files
  • DataRobot, which helps companies manage their machine learning models, significantly reduced headcount.
    • 🌎 Boston βˆ™ πŸ‘©β€πŸ’Ό Unknown # affected βˆ™ πŸ”—BostonInno