(BRAIN) — Fitness wearable maker Whoop and e-bike brand Rad Power each had layoffs this week.
Whoop, based in Boston, let go about 15% of its workforce. Rad Power, based near Seattle, Washington, laid off 63 employees. Rad Power had let go 100 workers in April.
“Over the last few months the global economic outlook has become increasingly uncertain and our operating costs have significantly increased,” Rad Power told Geekwire.
“To weather this challenging time we are shifting our focus to become a self-sustaining business. This has resulted in a team reduction which was something we worked hard to avoid, but was necessary to ensure the long-term sustainability of Rad Power Bikes.”
Ben Foster, Whoop’s former chief product officer, was among those let go. On his LinkedIn page, Foster said it was the right decision.
“While a decision like this is never 'easy,' it was definitely 'right,' and one I endorsed despite its personal impact,” Foster wrote.
“Many growth stage companies who relied on endless streams of venture capital must immediately downshift to manage burn and extend their runway. The WHOOP brand, product, and business remain incredibly strong, but this is a move that protects it against dangerous market conditions. Following this reduction, the company is now in a far stronger position to realize its fullest potential. I hope others also affected will take solace in this inconvenient truth."
