WeWork ($PRIVATE:WEWORK) has cut 2,400 jobs, according to CNBC, after its failed IPO and subsequent rescue financing with Softbank forced the company to recalibrate its strategy and growth plans.
The Times details the cuts to come: at least 2,000 people from its core business subletting temporary real estate; another 1,000 cuts in ancillary businesses; and 1,000 more jobs jettisoned to a maintenance contractor. One source predicted that up to 6,000 total jobs could be shed - and this comes on top of recent cuts to job postings throughout WeWork's business.
WeWork has slashed more than a thousand job postings, to go along with its anticipated layoffs, from its high of 1,590 in July. As of our most recent tally, they stood at 408, a decline of more than 74%.
We can track various WeWork job posting categories through its own listings online. In sales, seen above, we can track job postings declining 77% from their 2019 high. And, this trend stretches across other job posting categories with even greater declines from their 2019 highs. Finance job postings fell 82% at WeWork; Technology roles are down 89% and Marketing positions fell 88%, according to the same metric.
Building operations roles, according to the New York Times report, will not be laid off but rather transferred to an outside contractor. JLL Partners struck a deal with WeWork to absorb much of its facilities staff, Business Insider reported prior to the Times' report. At the same time, job postings at WeWork for these positions fell from a 2019 pre-IPO peak of 126 all the way down to 29, a decline of about 77%.
The WeWorkers Coalition took to Twitter to denounce the layoffs. Among the issues the coalition highlighted late Sunday: facilities management staff will lose nearly a full year's 401(k) match that has been accrued, but not distributed, because of "last day rules" requiring them to work at WeWork through the calendar year - which the outsourcing will prevent.
Adam Neumann's payout after leaving the company he founded is expected to be in the $1.7 billion range.
About the Data:
Thinknum tracks companies using the information they post online - jobs, social and web traffic, product sales and app ratings - and creates data sets that measure factors like hiring, revenue and foot traffic. Data sets may not be fully comprehensive (they only account for what is available on the web), but they can be used to gauge performance factors like staffing and sales.
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