Note

May 05, 20 - 5:51 pm - LABS

Airbnb is laying off 1,900 employees, about 25% of its staff

Since the marketplace for offering lodging and homestays Airbnb saw its revenue slashed in half due to the coronavirus pandemic, the startup announced today the lay off of nearly a quarter of its employees, about 1,900 people, according to The Information, which first reported it. The company have already fired contractors as contingent workers and postponed summer internships.

Social distancing measures led to mass cancellations of bookings in the platform and future reservations may return in a slow pace in countries with restrictions to prevent the spread of the disease.

Airbnb Co-Founder, CEO and Head of Community Brian Chesky. Photo: Airbnb/Wikipedia

According to the media outlet, the cuts are supposed to save the company between $400 million to $500 million per year. A statement by Airbnb CEO Brian Chesky reported by The Verge says that Chesky knows that Airbnb’s business will fully recover, however, the changes it will undergo are not temporary or short-lived.