On Tuesday, the online used car dealership went to Zoom to lay off 12 percent of its workforce . According to Twitter reports, the startup has “‘ among workers as it sent out a company-wide email at 7:30am notifying everyone of the upcoming job cuts, but without specifying who would be affected. In the end, in a Zoom call, Carvana told some employees of about 2,500 workers, many of them in “operational positions,” that they no longer had a position at the company a claim of startup disputes.
crap @Carvana. They just fired us in a zoom meeting and ended up saying hello. You should be ashamed of yourself. Many people have children, rent payments and commitments. I’m so disgusted with how this was handled
— Izzy (@OrangeCreamy11) May 10, 2022
Though Carvana thrived early in the pandemic, she’s struggled lately. Meanwhile the company reported a net loss of $260 million and blamed the layoffs on the financial headwinds it was facing that were slowing growth.
“Recent macroeconomic factors have pushed the auto retail industry into recession,” said a spokesman for Carvana protocol. “As Carvana continues to grow, our growth is slower than what we initially prepared for in 2022 and we have made the difficult decision to reduce the size of certain operating teams to better align with the current needs of the business.”
On the same day, Carvana notified employees of the layoffs the company would be issuing to buy a handful of used car auction sites from Kar Auction Services. Carvana isn’t the first company to turn to a Zoom webinar to conduct layoffs. Late last year, mortgage startup Better.com laid off about 10 percent of its workforce in a webinar that sparked a similar backlash from stakeholders.
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