Wework makes second round of redundancies in the UK
Wework has triggered a second round of redundancies in the UK as part of its global restructuring efforts, according to reports.
The embattled company made over half of its community managers and community leads, around 82 people, redundant earlier this week, according to Wired.
There will reportedly be further cuts in the design, IT, sales, events, talent acquisition and New Member development teams. Wired sources claim around 200 people in Wework’s London office could be affected by the restructure.
Wework declined to comment on the number of UK employees affected in the restructuring efforts.
A spokesperson pointed to the company’s five-year plan of “realigning certain functions and teams to reflect [its] priorities”. In April, chief executive Sandeep Mathrani and chairman Marcelo Claure announced a global restructuring. Finance boss Kim Ross reiterated the need to keep costs low.
Last year, the firm made 19 per cent of its total workforce redundant as part of restructuring efforts.
An internal presentation, seen by Wired, shows Wework plans to centralise billings and sales functions and spread community managers across different buildings.
“We are restructuring our community team to better align with our focus on member experience and enable our teams to more efficiently achieve our goals,” the spokesperson said.
“We are grateful to those who are leaving Wework and appreciate the important contributions they have made to the company.”
Wework has made use of the government’s furlough scheme for UK employees who were unable to fulfil their roles. It is understand that Wework’s community managers have been working through this period.