Visualizing Layoffs at Prominent Startups Triggered by COVID-19

Layoffs at Prominent Startups Triggered by COVID-19

As the pandemic reverberates through almost every industry imaginable, tech startups are also feeling the pain.

Since mid-March, countless startups and unicorns have undergone layoffs.

Today’s infographic pulls data from Layoffs.fyi, and navigates the cascading layoffs across 30 of the most recognizable startups in America. Each of the companies have slashed over 250 employees between March 11 and May 26, 2020—capturing a snapshot of the continuing fallout of COVID-19.

Silicon Valley Takes a Hit

Unsurprisingly, many of the hardest hit startups are related to the travel and mobility industry.

Closing 45 offices, Uber has laid off 6,700 employees since mid-March. Uber CEO Dara Khosrowshahi, who was granted a $45M earnings package in 2018, announced he will also waive his $1M base salary for the remainder of the year.

Company	# Layoffs	% of Employees	Industry
Uber	6,700	25%	Transportation
Lyft	982	17%	Transportation
Bird	406	30%	Transportation
Airbnb	1,900	25%	Travel
TripAdvisor	900	25%	Travel
Sonder	400	33%	Travel
TripActions	300	25%	Travel
Magic Leap	1,000	50%	Consumer
Yelp	1,000	17%	Consumer
Juul	900	30%	Consumer
Groupon	2,800	44%	Retail
Deliv	669	100%	Retail
B8ta	250	50%	Retail
Toast	1,300	50%	Food
ezCater	400	44%	Food
Flywheel Sports	784	98%	Fitness
MindBody	700	35%	Fitness
Opendoor	600	35%	Real Estate
WeWork	550	N/A	Real Estate
Compass	375	15%	Real Estate
ZipRecruiter	400	39%	Recruiting
Glassdoor	300	30%	Recruiting
Cvent	400	10%	Marketing
Sojern	300	50%	Marketing
KeepTruckin	349	18%	Logistics
Samsara	300	18%	Logistics
Eventbrite	500	45%	Entertainment
Lending Club	460	30%	Finance
Sage Therapeutics	340	53%	Healthcare
Automation Anywhere	260	10%	Other

*Layoffs reported between March 11-May 26, 2020

Meanwhile, as room bookings dropped by over 40% across several countries, Airbnb laid off a quarter of its workforce. The tech darling is anticipating a $2.4B revenue shortfall in 2020.

Like many other big names—including Lyft, Uber, and WeWork—Airbnb is struggling to achieve profitability. In the first nine months of 2019, it lost $322M at the height of the market cycle.

Until 2021, gig-economy revenues are projected to drop by at least 30%.

International Startups Struggling

Startups in the U.S. aren’t the only ones scrambling to conserve cash and cut costs.

Brazil-based unicorn Stone has let go of 20% of its workforce. The rapidly growing digital payments company includes Warren Buffett as a major stakeholder, holding an 8% share as of March 2020.

At the same time, India-based ride-hailing Ola has witnessed revenue declines of 95% since mid-March. It laid off 1,400 employees as bookings drastically declined.

Company	# Layoffs	% of Employees	Location
Swiggy	1,100	14%	India
Agoda	1,500	25%	Singapore
Ola	1,400	35%	India
Stone	1,300	20%	Brazil
CureFit	800	16%	India
Uber India	600	23%	India
Careem	536	31%	U.A.E.
Zomato	520	13%	India
Lendingkart	500	50%	India
Gympass	467	33%	Brazil
OneWeb	451	85%	United Kingdom
Livspace	450	15%	India
Oriente	400	20%	Hong Kong
Renmoney	391	50%	Nigeria
Deliveroo	367	15%	United Kingdom

Similarly, Uber India has rivaled Ola in dominance across India’s $10B ride-hailing market since launching three years after Ola, in 2013. Now, almost 25% of the Uber India workforce have been laid off.

Of course, these reports do not fully take into account the growing impact of COVID-19, but help paint a picture as the cracks emerge.

Pandemic-Proof?

While the job market remains murky, what startups are looking to hire?

Coursera, an online education startup, listed 60 openings in May. By the end of the year, the company plans to hire 250 additional staff. Within the peak of widespread global lockdowns, the platform attracted 10M new users.

Meanwhile, Canva, an Australia-based graphic design unicorn, is seeking to fill 100 positions worldwide. In partnership with Google for Education, Canva offers project-based learning tools designed for classrooms, in addition to free graphic design resources.

At the same time, tech heavyweights Facebook and Amazon reported openings. Booming startups such as Plaid, Zoom, and Pinterest are also listing new positions as shifting consumer demand continues to shape unpredictable and historic hiring markets.