New York: An American startup has laid off 100% of its staff.
Strange as it may sound, this did happen earlier this week at Frontdesk, a company that managed more than 1000 furnished apartments across the United States.
Even more strange was the manner of dismissal.
Co-founder and CEO Jesse DePinto communicated the decision to the employees over a Google Meet call that lasted just two minutes.
TechCrunch reported that the company had a workforce of 200 people.
One of the fired employees who attended the virtual meeting told the website that DePinto informed the staff that the layoffs were due to FrontDesk’s failure to raise more capital. The job cuts included part-time workers and contractors also, the CEO was quoted as saying.
DePinto said that the company will go for state receivership, an alternative to bankruptcy.
On calling a contact number given on the firm’s website, a recording says: “Currently, Frontdesk is unavailable. If you have a reservation, please seek alternative accommodations and expect to be contacted within the next two weeks,” the report says.
Founded in 2017, Frontdesk had raised $26 million from investors such as JetBlue Ventures, Veritas Investments and Sand Hill Angels.
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