The season of tech layoffs has now come to another edtech unicorn as Guild layoffs leave many without jobs. The edtech firm has reportedly fired over 12 per cent of its workforce.
According to a report in TOI, Guild layoffs come as a part of a broader organisation as the company is seeking long-term growth and financial growth. The intimation to Guild’s workforce about layoffs has been made via an email.
Talking about mass layoffs, Guild CEO Rachel Romer said (as per the report) that the layoffs were “incredibly painful” but also necessary to ensure the company’s long-term success. She added that Guild had “identified the go-forward structure, roles, and skill sets needed to enable our strategy and create a more focused, seamless way of doing work at Guild.”
The employees impacted by Guild layoffs will reportedly get 12 weeks of severance pay, medical, dental and vision coverage through the Consolidated Omnibus Budget Reconciliation Act (COBRA). However, this would only be for up to 18 months and Guild would cover the premiums for first 6 months and other benefits, the report adds.
Explaining the re-organisation process in the email to employees, the CEO also reportedly mentioned that it was important to identify optimal structure, roles and skills that are important for Guild’s ‘strategic vision.’
With this round of Guild layoffs over 150 employees may be asked to leave. However, it must be noted that the company is yet to officially announce layoffs and this information is as per the reports cited.