Robinhood cutting 23% of jobs, releases Q2 earnings

Robinhood will reduce its headcount by approximately 23%. The American financial services company, headquartered in California, also dropped its earnings report for the second quarter, which showed a decline in monthly active users and assets under custody.

Robinhood CEO Vlad Tenev said, on Tuesday, “deterioration of the macro environment, with inflation at 40-year highs accompanied by a broad crypto market crash” do account for the company’s Q2 results.

Robinhood had previously laid off 9% of its workforce in April. “I want to acknowledge how unsettling these types of changes are,” Tenev said.

The company would flatten its organizational structure to give new general managers broad responsibility for its businesses. He also said that affected employees would receive an email and a Slack message letting them know if they were being let go or still had a job, immediately after an all-hands meeting to discuss the move on Thursday.