Robinhood Lays Off 9% Of Full-Time Employees After Decline In UsersRobinhood CEO
Vlad Tenev announced that the financial services company would
lay off about 9% of its full-time employees in the wake of a drop in active users following torrid growth early in the pandemic, sending
Robinhood stock plunging nearly 72% in six months.
From 2019 to 2021, spurred by modest interest rates, government stimulus and by pandemic restrictions that boosted app usage, Robinhood grew its
employee headcount from 700 to nearly 3,800.
However, this burgeoning headcount created
redundant employee roles and introduced an unnecessary level of complexity, prompting the current layoffs.
Tenev said the company would individually contact laid-off employees to discuss “next steps,” and
would offer support in the form of separation packages and help with job searching.
