Bumble, the popular dating app, has announced plans to lay off approximately 350 employees, which accounts for about 37% of its workforce. The company has stated that these layoffs are part of a restructuring plan, aimed at driving stronger operating leverage and aligning its operating model with future strategic priorities. As of December 31, 2022, Bumble had over 950 full-time employees, according to a filing with the U.S. Securities and Exchange Commission.
Despite reporting $273.6 million in revenue for the quarter, which was up from $241.6 million in the same period the previous year, Bumble posted a net loss of $32 million. Following the news of the layoffs, Bumble’s shares fell more than 8% in after-hours trading. CEO Lidiane Jones emphasized that the company is taking significant and decisive action to accelerate its product roadmap, with the aim of strengthening foundational capabilities and delivering new and engaging user experiences that foster healthy and equitable relationships.
The layoffs at Bumble are part of a trend in the tech sector, where companies are making cuts in response to investor pressure for efficiency. This move by Bumble follows similar actions by other tech giants like Google and Amazon, who have also trimmed their headcount in recent months. According to Layoffs.fyi, an industry tracker, more than 170 tech companies have collectively cut nearly 44,000 jobs, reflecting a broader trend in the industry.