Clubhouse Lays Off 50% Of Entire Workforce; Here’s What The Founders Said

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Clubhouse Lays Off 50% Of Entire Workforce; Here’s What The Founders Said


Clubhouse is struggling to retain customers.

Clubhouse, the net social audio platform, which rose to fame in the course of the peak of the COVID-19 pandemic, has axed 50% of its complete workforce.

Clubhouse, the net social audio platform that gained large recognition in the course of the top of the COVID-19 pandemic, has introduced that it’s slicing 50% of its complete workforce.

The app, based by Rohan Seth and Paul Davison, loved a surge in utilization as folks have been compelled to remain at house in the course of the pandemic. However, because the world has begun to return to regular, the founders have famous a decline in customers.

“As the world has opened up post-Covid, it’s become harder for many people to find their friends on Clubhouse and to fit long conversations into their daily lives. To find its role in the world, the product needs to evolve. This requires a period of change,” the founders stated.

Clubhouse might be “saying goodbye to many talented, dedicated teammates in the process,” they added.

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Further, they noted that this was a necessary change and that they are “deeply sorry to be doing this.” The affected workers will get severance pay and healthcare protection for a number of months, and the corporate can pay the complete wage of these impacted till August 31, 2023, along with 4 months of severance.

Clubhouse will also let the affected employees keep using their company-issued laptops for research about new roles, and more.

“In order to fix this we need to reset the company, eliminate roles and take it down to a smaller, product-focused team. We arrived at this conclusion reluctantly, as we have years of runway remaining and do not feel immediate pressure to reduce costs. But we believe that a smaller team will give us focus and speed, and help us launch the next evolution of the product,” the founders stated.

Rohan Seth and Paul Davison are said to be building Clubhouse 2.0, which will address the shortcomings of the first app.

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