On Tuesday, short-term rental startups said nearly 1,900 employees would be freed worldwide, from 7,500.
“We collectively live through the most terrible crisis in our lives, and when it starts to unfold, global travel is at a standstill,” said CEO and co-founder of Airbnb, Brian Chesky. in the letter to the employee
He added that the Airbnb business had been “hit hard” and revenue this year was estimated to be less than half of what the company earned in 2019. The company recently dabbled with a virtual version of its Airbnb Experience, which was presented by more than 30 the host. The country leads activities and price ranges from $ 1 to $ 40. Experience includes an online bicycle tour, meditating with a Japanese monk or taking a Moroccan cooking class.
Airbnb also has it he said
postpone the planned Wall Street debut this year.
In the US, Airbnb said it would cover 12 months of health insurance for its employees through COBRA. In all other countries, it will cover the cost of health insurance until the end of this year.
Layoffs have engulfed the entire economy as a result of a pandemic, and technology companies have not been spared, with cuts and leave at Lyft, Yelp
, Eventbrite, and Reported layoffs
come to Uber.
“I have a deep love for all of you,” Chesky wrote in the letter. “I’m really sorry. Know, this isn’t your fault. The world will never stop looking for the qualities and talents you bring to Airbnb.”
Airbnb has also grappled with meeting the demands of frustrated customers with refunds, and supporting hosts, many of whom struggle to make mortgage payments and pay bills due to virus-related cancellations.