Amid the tumult of a CEO ouster, shared-space company WeWork will lay off thousands of its employees this month, somewhere between 10 and 25 percent of its entire 12,500-person workforce, according to Business Insider and Bloomberg. New executives are refocusing on the company’s core business of shared office rentals, BI reported.
WeWork CEO Adam Neumann resigned his position on Sept. 24th after the company’s valuation sank from $47 billion in January of this year to $15 billion in August. His wife, the company’s chief brand officer and head of the WeGrow private school subsidiary, left with him. WeWork had been preparing to go public in 2019, but the new co-CEOs have scrapped those plans. Instead, they’re focused on stemming the company’s losses, which WeWork reported were $1 billion in the first six months of 2019 amid a hurried expansion. The executives have already sold the $60-million jet Neumann bought with company money.