Home rental startup Airbnb Inc. is planning to lay off 1,900 employees due to the impact of the coronavirus pandemic, two sources familiar with the matter told Reuters.
The employees will receive a four-month pay package, accelerated equity vesting and health insurance for a year, one of the sources said.
Airbnb did not immediately respond to a request for comment.
The laid off employees would also receive job placement support and will be allowed to keep their computers, according to the source.
Airbnb founder Brian Chesky told employees that the company would be “returning to its roots” as it prioritizes the core business of renting homes short-term, over more recent initiatives including transportation and luxury retreats, the source added.
The company in late March suspended all its marketing activities to save US$800 million in 2020, and informed workers that its founders will take no salary for the next six months while top executives would take a 50 per cent cut.
© Thomson Reuters 2020