Another huge round of layoffs for Knotel

Flex office company lets go nearly 200 employees, about half its total staff

TRD NATIONAL /
Mar.March 27, 2020 03:58 PM
Knotel CEO Amol Sarva 

Knotel CEO Amol Sarva

Flex office company Knotel slashed its 400-person workforce by half, as the coronavirus pandemic has drained the unicorn startup’s membership base.

Knotel laid off or furloughed 195 employees worldwide today, Commercial Observer reported.

“Business as usual is over,” Knotel CEO Amol Sarva told the publication. “[The coronavirus crisis] isn’t short and we’ve decided that we’re going to take some sharp action ourselves on this. We’re going to prepare for the worst case.”

The cuts come after Knotel, which reached a valuation of $1 billion last year, laid off 24 employees in New York earlier this year.

The Covid-19 pandemic has resulted in more than 80 percent of Knotel’s customers now working remotely or stop moving in, CO reported.

Sarva said the company offered laid-off employees six months of health insurance in lieu of severance payments. Sarva cut his salary in half.

Other short-term space companies have had to make cuts as well. Convene last week laid off nearly 150 employees. WeWork is considering cutting 1,000 workers. [CO] — Rich Bockmann


Related Articles

arrow_forward_ios
Joyce Bromberg (Convene via Twitter)

Convene’s top design exec steps down

Convene’s top design exec steps down
Photo illustration of Paraag Sarva and Amol Sarva (Credit: Amol Sarva by Sasha Maslov, Linkedin)

Brother from the same mother: Knotel, Rhino CEOs didn’t disclose family tie on insurance deal

Brother from the same mother: Knotel, Rhino CEOs didn’t disclose family tie on insurance deal
Andrew Florance, CEO of CoStar (Photo by Jeffrey MacMillan for the Washington Post)

EXCLUSIVE: CoStar’s Andy Florance on buying Ten-X, the future of office buildings and why brokers don’t need discounts

EXCLUSIVE: CoStar’s Andy Florance on buying Ten-X, the future of office buildings and why brokers don’t need discounts
An institutional investor’s sale of a 7 percent stake in an exchange-traded real estate fund reveals deep concerns about the sector. (Credit: iStock)

Mystery investor dumps big stake in real estate fund

Mystery investor dumps big stake in real estate fund
Convene CEO Ryan Simonetti

The office startup’s new look: Fewer desks, shuttered conference rooms

The office startup’s new look: Fewer desks, shuttered conference rooms
Thor Equities’ big bet on Fulton Market is paying off

Thor Equities’ big bet on Fulton Market is paying off

Thor Equities’ big bet on Fulton Market is paying off
CEO Andrew Florance (Credit: CoStar via YouTube)

CoStar buying Ten-X for $190M

CoStar buying Ten-X for $190M
Small landlords, such as Jan Lee, a New York landlord who owns two buildings, say Wall Street players will take their place unless rent relief comes soon. (Credit: Twitter; background via BRYAN R. SMITH/AFP via Getty Images)

Small landlords call for rent relief package, fearing Wall Street takeover

Small landlords call for rent relief package, fearing Wall Street takeover
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...