US-based tech-enabled provider of workers’ compensation insurance to small businesses Pie Insurance has laid off 14% of its workforce, or 66 employees, as part of the company’s wider budget revision process.
“We’ve made the very hard decision to reduce our headcount by about 14%, which will impact 66 Pie-oneers. This decision was made as part of our wider budget revision process that we have undertaken over the last few months,” Pie chief executive, John Swigart wrote in a message.
In addition, the message stated that employees who had been let go will meet in a 2:1 setting with a team leader and a people partner to go over their separation agreements and address any concerns. A Slack message verifying that all meeting invites have been delivered will be put in this channel, the message stated, so you will know if your role is being decreased.
In order to achieve profitability with the available funds, the company decided in February to update its three-year plan.
“This February, in consultation with our board, we decided to revise our three-year plan to ensure that we reach profitability with the cash we have on hand. Over the past three months, Pie’s leadership team has been working on these revisions and ultimately identified over $25 million in annual expenses to eliminate from our budget,” Swigart said.
A full separation package will be provided to those affected, including severance money, health insurance, career placement assistance, coaching services, and the ability to keep all of their equipment.
In the meantime, the US-based autonomous trucking company TuSimple has declared that it will reduce its global workforce by around 30% in an effort to conserve funds and continue operating.
Prior to the layoff, TuSimple claims that the company had roughly 550 US employees; following the cut, there will be about 220.