Getaround To Slash 10% Of Workforce To Contain Costs
Carsharing marketplace Getaround, Inc (NYSE: GETR) is prepared to downsize its workforce by 10% under its latest restructuring to contain costs.
The restructuring plan also includes significant reductions to other operating expenses, including reducing the company's contract workforce and outside professional services.
The move will likely save $25 - $30 million on an annualized run-rate basis.
"In response to an uncertain near-term macroeconomic outlook, which has hit technology companies particularly hard, Getaround has made the decision to streamline its operations," said Sam Zaid, Getaround CEO. "These proactive changes include a difficult but necessary reduction in our North American workforce.
Getaround has 421 employees, so the staff cuts should affect around 42 employees, TechCrunch reports.
On February 1, the company received continued listing standards notice from the NYSE as the average closing price of the common stock fell below $1.00 over a consecutive 30 trading-day period.
Getaround joined a bevy of companies, including Big Tech like Amazon.com Inc (NASDAQ: AMZN) and Alphabet Inc (NASDAQ: GOOG) (NASDAQ: GOOGL), to reduce staff as businesses slowed down amid macro uncertainties after pandemic-driven growth.
Price Action: GETR shares closed higher by 2.25% at $0.6540 on Thursday.
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