Airbnb plans to cut 35% of its total workforce in Dublin
Ireland: Airbnb may be planning to lay off around 25% of its workforce in the Irish capital of Dublin.
According to TheJournal.ieemployees were informed that Airbnb was targets 190 redundancies at its European headquarters due to the global pandemic.
The company announced a large round of layoffs in early May, pledging to cut 25% of the business. While the company’s US layoffs were immediate, the European and Asian workforce reductions were executed separately, based on each branch’s best practices.
However, approximately 320 members of the company are currently in consultation to determine which members of the team will be made redundant. The customer service team will be the most affected, which will apparently support 100 of the approximately 190 necessary job cuts.
Airbnb first entered the Irish market in 2012, significantly expanding its presence in the country in 2013. It established its European headquarters in Dublin due to its status as an emerging tech epicenter in Europe, as well as its “welcoming nature”.
The company, however, has clashed with the Irish community over fears that the short-term rental market will pull properties out of long-term markets and drive up rents.
Ireland has planned a ‘crackdown’ on short-term rentals over the summer, leading many to register their properties at the beginning of the year. The city of Dublin has, on several occasions, planning permission refused for additional short term rentalshoping to limit the number of full-time Airbnbs in the city.
Airbnb will provide similar cover for these vacancies as it did for its US layoffs – 14 weeks pay, plus seniority increases in line with Irish practice.
The layoffs are just one of the ways the company has coped with the revenue shortfall – it has managed to raise at least $1 billion in capital from investors including Silver Lake and Sixth Street Partners.