Airbnb is the latest company to layoff a major portion of its staff as revenues decline during the coronavirus pandemic.
Tech Crunch reported that the layoffs of 1,900 people of Airbnb's 7,500 workers would include internal product groups.
"We are pausing our efforts in Transportation and Airbnb Studios, and we have to scale back our investments in Hotels and Lux," Airbnb CEO Brian Chesky said in a memo to staff.
“We are collectively living through the most harrowing crisis of our lifetime, and as it began to unfold, global travel came to a standstill,” Chesky said. “Airbnb’s business has been hit hard.”
Chesky added that the revenue for the company in 2020 will be “less than half” of that of 2019.
»COMPLETE COVERAGE: CORONAVIRUS
The news comes as Airbnb announced a hiring freeze and marketing halt last month, CNBC reported.
Days later, the company offered a flexible cancellation policy under which it would offer full refunds to guests who booked stays for any trips starting on or before May 31 that were booked before to March 14. The company said it would set aside $250 million to pay hosts, in the form of a relief fund, paying 25% of what they would normally receive through its cancellation policy.
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