Printed on Wednesday, Might 6, 2020

Airbnb is to put off round 1 / 4 of its international workforce as its revenues plunge to lower than half of what it earned final yr.On the identical time, the San Francisco-based short-stay reserving platform will pause its growth in transport and Airbnb Studios and cut back its funding in resorts and luxurious.CEO Brian Chesky stated ‘journey on this new world will look completely different, and we have to evolve Airbnb accordingly’.He advised workers: “We’re collectively residing via essentially the most harrowing disaster of our lifetime.”He added: Whereas we all know Airbnb’s enterprise will absolutely get well, the modifications it’ll endure will not be short-term or short-lived. Due to this, we have to make extra basic modifications to Airbnb by decreasing the dimensions of our workforce round a extra centered enterprise technique. “Out of our 7,500 Airbnb workers, almost 1,900 teammates should depart Airbnb, comprising round 25% of our firm. Since we can not afford to do all the things that we used to, these cuts needed to be mapped to a extra centered enterprise.”Airbnb has not revealed what number of – if any – UK workers shall be included amongst the1,900 redundancies. The corporate has stated they’ll obtain 14 weeks’ pay.Final month, put in place a hiring freeze, droop its advertising, reduce executives’ wage and introduced that it didn’t anticipate to pay bonuses for 2020.The corporate is elevating $2 billion in new debt funding at a valuation of $18 billion.