With over 30 million people unemployed and counting, it’s not surprising that Airbnb announced that it will downsize 25% of its workforce. Roughly 1,900 people out of the company’s 7,500 total workforce will lose their jobs. This is one of the largest layoffs that we’ve seen out of Silicon Valley due to the effect of the coronavirus outbreak.
Fellow share-economy unicorns, such as Uber, Lyft and WeWork, have all announced plans for significant layoffs focused on management and administrative personnel within the home office. Uber shared plans to downsize about 20% of its employees. Lyft laid off roughly 1,000 people—representing 17% of the company. Several thousand workers have been let go from WeWork.
What’s different about Airbnb is the manner in which the company informed its employees of its plans. Usually when companies engage in mass layoffs, it’s a cold and clinical affair. A worker is called into a small stuffy office with their boss, a human resources professional and a couple of other managers. You’re curtly told that you’ve been terminated, as legal-looking papers are shoved in front of you that you’re pressured to sign. The ink isn’t dry and then you’re whisked into an elevator and escorted out of the building. They say that your personal effects will be sent to you. It’s a cold whirlwind that leaves you stunned and resentful. 
According to a piece in the Verge, employees of scooter-sharing startup Bird fired 406 employees in a modern “Black Mirror” style. The impacted workers were asked to log into a one-way Zoom call, after being informed that all other appointments were cancelled. A disembodied voice read a script informing the person that they’ve been laid off. Their Slack and other accounts were shut off and given end dates.
The management team at Airbnb took a different approach. Although the news of such a large layoff is painful for everyone, the company really made an effort to lead with transparency.
