[ad_1]
For the second time this 12 months, Robinhood is reducing its headcount. On Tuesday, the corporate it might lay off 23 p.c of its workforce. In line with CEO Vlad Tenev, the cuts will have an effect on each a part of Robinhood’s enterprise however will primarily goal the corporate’s “operations, advertising and marketing and program administration features.”
Tenev blamed a deteriorating macro setting for the choice, pointing to document inflation and the cryptocurrency crash as the first drivers of the corporate’s latest woes. Moreover, he acknowledged the corporate overhired final 12 months on the belief retail buyers would proceed buying and selling shares and crypto belongings on the charge that they had in the course of the early levels of the pandemic. Previous to April when Robinhood , the corporate had a headcount of roughly 3,800. “As CEO, I authorised and took duty for our formidable staffing trajectory – that is on me,” he stated.
On Tuesday, Robinhood additionally someday forward of schedule. The corporate reported a web lack of $295 million after income fell by 44 p.c year-on-year to $318 million.
In his letter to workers, Tenev stated Robinhood would transition to an organizational mannequin the place normal managers would oversee broad components of the corporate’s enterprise. “This modification will flatten hierarchies, scale back cross-functional dependencies, and take away redundant roles and positions,” he claimed. Tenev added that Robinhood would notify affected workers through Slack and electronic mail. They’ll stick with the corporate till October 1st, 2022.
All merchandise really useful by Engadget are chosen by our editorial staff, unbiased of our father or mother firm. A few of our tales embody affiliate hyperlinks. In case you purchase one thing by one in every of these hyperlinks, we might earn an affiliate fee.
[ad_2]
Source link
