Yelp lays off or furloughs more than 2,000 employees due to coronavirus

- Advertisement -
KEY POINTS
  • Yelp announced Thursday it is laying off 1,000 employees and furloughing about 1,100 more due to impacts from the COVID-19 pandemic.
  • “The duration and impact of this is unknown, but it will have a direct impact on our own revenues,” Yelp CEO Jeremy Stoppelman said.
  • The company has already cut executive pay by 20% to 30%, reduced server costs and deprioritized projects.
- Advertisement -
- Advertisement -
- Advertisement -
GS: Yelp in New York City
Yelp employees in the New York City office.
Spencer Platt | Getty Images

Yelp announced Thursday it is laying off 1,000 employees and furloughing about 1,100 more due to impacts from the COVID-19 pandemic.

“To help Yelp get through this period of great uncertainty, we have had to make some incredibly hard decisions to reduce our operating costs,” Yelp CEO Jeremy Stoppelman said in an employee email that was posted on the company’s website. “In all of our nearly 16 years, I’ve never seen a crisis of this magnitude and impact on our business.”

The company will offer severance pay to employees laid off, as well as reimbursement for up to three months of health insurance coverage. Furloughed employees will retain most of their benefits and receive two weeks of additional pay, Yelp said.

Yelp said it has seen a dramatic decrease in consumer interest across the nation due to social distancing mandates. Interest in its key restaurants category has dropped 64% since March 10, while nightlife is down 81%, Stoppelman said.

“The duration and impact of this is unknown, but it will have a direct impact on our own revenues,” Stoppelman added.

The company has already cut executive pay by 20% to 30%, reduced server costs and deprioritized projects. Stoppelman also forfeited his salary for the year.

The coronavirus has caused an increasing number of companies to layoff or furlough employees, as some people are mandated to stay at home to try and slow the spread of the virus. The Labor Department reported Thursday that 6.6 million Americans filed first-time unemployment claims last week, bringing the total over the past three weeks to more than 16 million.

Home of Science
Follow me

- Advertisement -

Discover

Sponsor

Latest

Jennifer Chapple stabbed to death as children slept upstairson November 23, 2021 at 4:31 pm

Jennifer and Stephen Chapple, aged in their 30s, were killed in their home in a Somerset village.A woman was stabbed to death in her...

The Unseen Queen: New BBC film shows Royal Family’s private family videoson May 26, 2022 at 5:16 am

An intimate look at family life, the documentary explores unique footage filmed by the Royal Family.

Coachella 2022: Kanye West, Billie Eilish and Harry Styles to headlineon January 13, 2022 at 3:02 pm

Kanye West, Billie Eilish and Harry Styles will headline the Californian festival.

Ten years on – how much better is Lukaku after re-joining Chelseaon August 12, 2021 at 8:05 pm

Why have Chelsea broken their transfer record to re-sign Romelu Lukaku - and how much better is he after returning to the club he...

Suella Braverman quits and vote chaos add to turmoil for the PMon October 19, 2022 at 11:28 pm

A resignation of a senior minister and anger over fracking place even more pressure on the prime minister.Image source, PA MediaA chaotic day in...
Home of Science
Follow me