Home News Online Rental Startup Zumper Lays Off 15% of Staff

Online Rental Startup Zumper Lays Off 15% of Staff

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Zumper’s Anthemos Georgiades (Getty, iStock)

ZamperAn online rental startup recognized as a top employer last year Multiple Best of On the list, last Friday we reduced about 300 staff by 15%. Genuine Have learned.

Most of the cuts have hit the San Francisco-based company’s sales and customer service departments, according to an ax employee who spoke on condition of anonymity. Members of the art department have also been fired, according to a LinkedIn post from a graphic designer among them.

On Thursday, workers were notified of the next day’s zoom call outside of normal working hours, during which Zumper officials said the layoffs were budget-related rather than performance-based.

“”[W]Casey S., a former customer service employee, said on Tuesday: LinkedIn post..

I wasn’t able to ask Zumper for comment.

Cut, the latest victim of an ongoing tech rout, was in the midst of mass dismissals at public and private real estate companies, including brokerage firms. Compass, ~ side When Redfin And digital mortgage lenders Tomo When Better.com..

Unfavorable capital market conditions resulting from rising interest rates have forced many companies to curb spending, and headcount is usually where cost reductions begin.

Co-founded in 2012 by CEO Anthemos Georgiades and Russell Middleton, Zumper has raised approximately $ 179 million in equity financing through at least six funding rounds, including $ 60 million. Series D According to Crunchbase, it was led by e.ventures in early 2020. Last year, the company was reported approaching an IPO.

Zumper, a private company operated by home leasing, one of the more resilient commercial real estate segments, has some protection from recent stock market volatility. But interest rates, inflation, and fears of a possible recession have also weakened venture capital’s desire for risk.

Federal Reserve System Raised key interest rates by 75 basis points To stop inflation on Wednesday — the sharp rise since 1994.On the other hand, the consumer price index is Highest level in over 40 years In May, it was driven by rising food and energy costs. The combination of factors is Bringing the S & P 500 to the bear market territory..

A recent Zumper report showed rent nationwide Record high in May.. Rising unemployment during a recession can cause rental defaults and headwinds for landlords and the Proptech platform that serves landlords.

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