The US-based car-sharing company Getaround has announced laying off about 10 per cent of its workforce with immediate effect.
The layoffs are part of a restructuring aimed to put Getaround on the path to "sustainable profitability and long-term growth", according to the company.
The restructuring plan will also include significant reductions to other operating expenses, including reducing the company's contract workforce, and outside professional services.
"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," Sam Zaid, Getaround CEO, said in a statement.
"These proactive changes include a difficult, but necessary, reduction in our North American workforce. Through these changes, we will maintain and prioritise Getaround's spirit of innovation and long-term focus on profitably growing our global marketplace at a measured and efficient pace, while, at the same time, optimise the Company's underlying cost structure," he added.
Moreover, the car-sharing company said that this revised global business strategy is intended to fortify Getaround's path to achieving sustainable profitability and long-term growth.
These reductions in the company's operating expenses are expected to result in annualised cost savings of between $25 and $30 million.
"While this was a necessary step to maintain financial health and the long-term success of Getaround, with much sadness, I want to say thank you to our departing colleagues for your contributions, the energy you have brought to the team, and the impact you have had building Getaround into a global marketplace," said Zaid.
--IANS
shs/dpb
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
You’ve hit your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →
Quarterly Starter
₹900
3 Months
₹300/Month
Smart Essential
₹2,700
1 Year
₹225/Month
Super Saver
₹3,900
2 Years
₹162/Month
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Access to Exclusive Premium Stories Online
Over 30 behind the paywall stories daily, handpicked by our editors for subscribers


Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share


Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor


Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements


Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app