🦆🦆🦆

(http://www.autoadmit.com/thread.php?thread_id=5104774&forum_id=2#44479736)

Over the past week, we’ve witnessed an alarming amount of layoffs across the startup ecosystem, from buzzy, big names like Cameo, On Deck and Robinhood, to B2B platforms like Workrise and Thrasio. The common thread between most of these layoffs, according to founders, is that there’s been a shift in the market and a serious pivot in business is required. A pivot, that is, that hurts the employees that built your product up after high demand.

A pullback has been in the cards for months. It first impacted public tech companies and then slowly trickled down to late-stage deals and even their well funded early-stage counterparts. In February, Hopin cut 12% of staff, citing a goal of more sustainable growth, while April included Workrise cutting staff and verticals despite a $2.9 billion valuation.

Now feels like an inflection point, in which tech unicorns are realizing that they may have overpromised a growth trajectory, over-hired or overestimated their ability to raise that next round. They aren’t alluding to the market changing, they’re blaming it. The irony here is tough: The same workforces that helped companies meet a boom in pandemic demand are the same workforces on the chopping block when trends change.

Below, we’ve listed which companies announced layoffs this week to underscore the unfortunate, albeit growing, trend.

(http://www.autoadmit.com/thread.php?thread_id=5104774&forum_id=2#44481242)

🤨

(http://www.autoadmit.com/thread.php?thread_id=5104774&forum_id=2#44485806)

high labor/output demand drives job growth; contracting demand results in job cuts. o what irony!

(http://www.autoadmit.com/thread.php?thread_id=5104774&forum_id=2#44583350)

https://www.bloomberg.com/news/articles/2022-05-26/paypal-begins-cutting-staff-as-push-to-reduce-costs-ramps-up?sref=10lNAhZ9

(http://www.autoadmit.com/thread.php?thread_id=5104774&forum_id=2#44583223)

Fiverr - 8% of all staff

Capsule - 13% of all staff

Tonal - 35% of all staff

(http://www.autoadmit.com/thread.php?thread_id=5104774&forum_id=2#44917006)

The reality is there’s nowhere else for the money to go. Two years ago there was real estate but lol at that now. It’s like tech and bankers formed a suicide pact so you have to fall a lot farther than this for the bankers to bail and start burning it all down.

(http://www.autoadmit.com/thread.php?thread_id=5104774&forum_id=2#44917268)

if a true recession hits, there could be real and significant layoffs and huge downward wage pressure.

(http://www.autoadmit.com/thread.php?thread_id=5104774&forum_id=2#44917299)