Coinbase announced today he will extend the moratorium on hiring and withdraw accepted offers from some candidates who have not yet begun work.
Coinbase, the third-largest crypto exchange by volume, has begun cutting recruitment two weeks agobut this step is more radical.
“Rapid adaptation and immediate action will help us successfully navigate this macro environment and become even stronger, driving continued healthy growth and innovation,” Chief HR Officer LJ Brock wrote in a report. company memopublished on the Coinbase blog.
Brock added that the hiring freeze will continue as long as the macro downturn continues, and that the freeze will also apply to placeholders. However, any role required for security and compliance will still hire a replacement.
“We will also cancel a number of outstanding offers for people who have not started yet. This is not an easy decision, but it is necessary to ensure that we grow only in the highest priority areas, ”the note says. “All incoming employees will be notified of their updated offer status via email today.”
People whose offers have been canceled will be eligible for Coinbase’s “generous severance philosophy”, which the letter does not mention. But at the end of 2020, when CEO Brian Armstrong suggested that employees resign if they were unhappy with the behavior of the company “apolitical”, the mission of Coinbase severance pay supported employees for four to six months, depending on their length of service, with six months of health insurance through COBRA. The company is also setting up a “talent center” to offer those affected additional support, such as job interview coaching and reviewing resumes.
“We always knew that crypto would be volatile, but this volatility, along with larger economic factors, could test the company and us personally in a new way,” Brock wrote. “If we are flexible and resilient and focus on the long term, Coinbase will be stronger on the other side.”
Looking ahead to 2022, Coinbase planned to triple its headcount. But in its first-quarter financial results, the company said capping headcount could be a way to manage costs. The company announced $430 million lossa bad omen for a cryptocurrency exchange that relies heavily on trading activity for much of its income.
Cryptocurrency platform Gemini, led by co-founders and twin brothers Cameron and Tyler Winklevoss, also announced today that it reducing its workforce. Gemini laid off 10% of its staff due to “turbulent market conditions that are likely to persist for some time.”
Unfortunately, this turmoil extends far beyond the crypto space. Estimated only in May 15,000 technical workers have lost their jobs as companies try to cut costs during a difficult economic time.
Credit: techcrunch.com /