On February 29, 2024, Fiskeron laid off 150 employees, representing 0.15% of its workforce.
Headquartered in Los Angeles, Fiskeron operates in the transportation industry. The recent layoffs are part of a broader restructuring effort to streamline operations and improve efficiency.
Fisker decided to lay off employees due to insufficient cash reserves and the need to streamline operations in preparation for another difficult year. The layoffs were also influenced by a large investor and the chief restructuring officer who wanted to reduce the workforce further.
“We have put a plan in place to streamline the company as we prepare for another difficult year,” said Henrik Fisker, founder and CEO.
Fisker is laying off 15% of its workforce because it likely does not have enough cash on hand to survive the next 12 months. The company is trying to raise money as it pivots from direct sales to a dealership model, which has negatively impacted its sales so far.
The layoffs at Fisker have significantly impacted its workforce, particularly affecting roles in sales and customer service. This reduction in employees is expected to strain the company's operations, potentially leading to longer response times and decreased customer satisfaction.
In the broader transportation industry, Fisker is not alone in facing challenges. Companies like Rivian and Lucid Motors have also announced layoffs recently, reflecting a trend of cost-cutting measures across the sector.
The layoffs at Fisker indicate a challenging road ahead, but they also present an opportunity for the company to refocus its strategy and streamline operations.
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