Calm cuts 20% of workers, following its COVID-19 increase

The Calm app

The agency behind the meditation app, Calm, has decreased its workforce by 20%, in response to The Wall Road Journal. A memo was despatched out to workers concerning the lay-offs by CEO David Ko. The agency hires round 400 individuals and 90 have been laid off. The information was handed alongside to the press by individuals conversant in the matter.

A part of the memo learn:

“Regrettably, right now we’re lowering our general workforce by 20%. Whereas a few of you’ll be impacted, all of you’ll be affected. I can guarantee you that this was not a straightforward determination, however it’s particularly troublesome for a corporation like ours whose mission is concentrated on office psychological well being and wellness. We didn’t come to this determination evenly, however are assured that these modifications will assist us prioritize the long run, give attention to development and grow to be a extra environment friendly group.”

The CEO didn’t go into depth within the memo about why the lay-offs have been taking place, however acknowledged that he’d elaborate at a gathering scheduled for right now (Friday). A spokesperson for the corporate additionally declined to remark to WSJ concerning the measures the corporate was taking.

The motion taken by Calm appears to grow to be a bit clearer when SensorTower’s information is factored in. In line with The Telegraph, who has SensorTower information, Calm has seen downloads drop by 30% during the last 12 months because the COVID-19 pandemic receded and other people return to regular. On condition that Calm depends on paying prospects, the decline in customers most likely means it couldn’t afford its stage of staffing.

Supply: The Wall Road Journal through The Telegraph (Yahoo! Finance)

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