Robinhood Cutting About 9% of Full-Time Employees

Retail brokerage firm Robinhood is cutting back staffing levels, citing "duplicate roles and job functions" after rapid expansion last year. From a report: CEO Vlad Tenev made the announcement in a blog post on Tuesday afternoon. Shares fell more than 5% in extended trading. The move will affect about 9% of full-time employees. Robinhood reported 3,800 full-time employees as of Dec. 31. The company declined to give more detail on the exact number of employees being let go. "We determined that making these reductions to Robinhood's staff is the right decision to improve efficiency, increase our velocity, and ensure that we are responsive to the changing needs of our customers," Tenev wrote. "While the decision to undertake this action wasn't easy, it is a deliberate step to ensure we are able to continue delivering on our strategic goals and furthering our mission to democratize finance," he added.

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[Revek]

Good selfawarewolves stuff here.

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[kurkosdr]

About housing, keep hoping it will crash down eventually. What makes you think a market correction will stop investment firms from buying up real estate and then renting it back to individuals as a sure way to recoup costs and also take a hefty profit too? If anything, investment firms will double down on safe investments like housing.

In plain English, houses aren't selling high due to being part of some kind of bubble, you just got outbid by an investment firm. So, demand lots of new housing development

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[spun]

As if it is only the left that enacts bad zoning. Just stop. Bad zoning is everyone's fault. And no, sprawl won't fix the housing issue. It makes it worse. Rezoning suburbs for multi family housing will fix the issue, but I bet YOU hate that idea, don't you? "But muh property values!" Yeah, right wingers who are concerned for their property values are part of the problem, not part of the solution.

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[kurkosdr]

I am for rezoning suburbs for multi-family housing.

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[spun]

And scapegoating leftists, apparently. Doesn't that stance completely contradict your statement, "and stomp on any leftard who tries to convince others that "sprawl bad" or that cars (that enable suburbia) are "bad".

Doesn't rezoning suburbs for multi family housing mean "suburbs bad" and "cars bad?" If not, then why the fuck do you support rezoning suburbs?

Oh wait, I get it. When a right winger does it, it's good, because "good" is defined by what you and your tribe do. You just want leftists stomped on.

Fuc

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[kurkosdr]

If the rezoning doesn't include parking, then it's bad.

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[spun]

You keep saying sensible things like "rezoning should include parking."

It's confusing, because sensible people don't say "stomp the leftards," which is something you definitely said. It's weird trying to have a conversation with someone who has stated, in public, that they want you stomped. I mean, do you want to throw down, or have a conversation? If you have a favorite gym we could go to, I'd be happy to oblige in the former, just to settle things. Then maybe we could have a real conversation. As it stand

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[kurkosdr]

Leftards deserve extra stomping due to their ideological hatred for cars (cars are private aka "non-communal" form of transport and hence evil). For those not in the know, cars took humanity out of inner city slums (built around railway stations) and into the suburbs, so it's no surprise that, with metropolitan cities growing increasingly car-hostile and transport planners lecturing everyone to take the train, the slums are returning in the form of "shared tenancies" (complete with bathrooms shared by half-

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[spun]

Fuck you then, we're done here you hateful piece of shit.

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[kurkosdr]

Goodbye and good riddance.

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[b0s0z0ku]

There's a different solution to that problem -- think Soylent Green.

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[b0s0z0ku]

... or maybe Logan's Run. Or just not spending so much money on fripperies (war, mass incarceration) and using the funds to shore up our social safety net for everyone, including the aged.

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[b0s0z0ku]

Investment firms are very dependent on hot money from the Fed and from equity markets ... Fed is tightening and equities are falling like they're going out of style.

Once hovel prices start to fall, investment firms will prep to buy again AFTER the crash, at skell-level prices.

Sounds good .... Why's this such a big deal?

[King_TJ]

I've seen this news item all over the Internet since yesterday. Not sure why people are making such a big deal out of it? Obviously, there were more people spending time buying and selling in Robin Hood during the pandemic while they were stuck at home and got interested in stock trading as a new hobby interest. Now, that's going away and we're back to a more normal pattern of usage. They hired additional staff to handle the surge of use and now they're doing what's sensible and eliminating the unneeded extra workers at this point.

(For that matter, the market is on a downward trend for a while here -- so not exactly exciting more people to jump into stocks.)

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[b0s0z0ku]

Recession is coming. Hopefully housing will be next.

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[cayenne8]

Recession is coming. Hopefully housing will be next.

Just curious, why would you wish for such a thing?

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[b0s0z0ku]

Because I want the people who have commodified housing and driven it out of the reach of ordinary Americans to lose everything they have. This will fuck flippers and prostitutional investors hard.

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[b0s0z0ku]

You really think that large corps that bought up housing after the last recession achieved anything good, instead of just driving housing out of the price range of people that want to live in it? You're a brainwashed little snit, aren't you.

Re:Sounds good .... Why's this such a big deal?

[Anonymous Coward]

Obviously, there were more people spending time buying and selling in Robin Hood during the pandemic while they were stuck at home and got interested in stock trading as a new hobby interest. Now, that's going away and we're back to a more normal pattern of usage. They hired additional staff to handle the surge of use and now they're doing what's sensible and eliminating the unneeded extra workers at this point.

Nope. Wrong answer. This has nothing to do with the pandemic. This is a scam that has been going on for the last 25+ years.

Robinhood hired a couple thousand people they didn't actually need to make them appear bigger and more successful than they really were. Investors fall for the scam, stock price goes up, company founders get rich. But they don't make enough money to support all the useless people they hired. Eventually, the scam becomes unsustainable and there are huge layoffs.

Dotcom Bubble 3.0 Lather. Rinse. Repeat.

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[Can'tNot]

There's a bubble going on right now over Gamestop stock (GME), as well as a few others. This bubble was started on reddit by a bunch of retail investors, many of whom used Robinhood as their trading platform. Robinhood couldn't handle the volume of trades and placed some restrictions on the buying and selling of certain stocks like GME. Because the original idea behind the bubble was to drive up the stock very quickly, in order to take money from a large hedge fund (Marvin Capital) which had shorted that st

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[King_TJ]

With regards to that specific situation? I didn't run across nearly as many people concerned that RobinHood had an agenda of protecting Marvin Capital as I did people concerned that they weren't really big enough and capable enough of handling the volume of trades users wanted to make on the platform.

Ooof.

[Frobnicator]

So, a mass layoff that is just below the limits to trigger the WARN act.

For those who don't already know, federal law (the Worker Adjustment and Retraining Notification Act, or WARN act) requires at least 60-day notice when layoffs reach a minimum size. Even when law and contracts allow for immediate termination without cause, mass layoffs still require advance notice when large enough. One of the triggers at 500 employees terminated within a 90 day period. Laying off over 300 workers on top of their regular attrition rates are likely extremely close to those limits.

Sucks for those workers. Thankfully the economy is great right now and negotiation is strongly in the worker's favor. Wherever they go they're likely to get a massive pay and benefits improvement. It's a great time for geeks looking for new jobs, so simultaneously my condolences at the difficulty and congratulations on the impending raise and promotion elsewhere.

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[fahrbot-bot]

Thankfully the economy is great right now and negotiation is strongly in the worker's favor. Wherever they go they're likely to get a massive pay and benefits improvement. It's a great time for geeks looking for new jobs, so simultaneously my condolences at the difficulty and congratulations on the impending raise and promotion elsewhere.

Just terrible. Who do we blame for this? :-)

Increase our velocity

[ickleberry]

Who in the almighty feck comes up with these cringetastic soundbytes? I really hope they manage to increase their velocity to the point where air friction ensures them a fiery death.

So... already down 9%?

[fahrbot-bot]

Is it too late to short Robinhood staff -- is there a button for that on the app? :-)

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[Virtucon]

zing

I'll say...

[nospam007]

...the Merry Men were not amused.

Just add more crypto

[lessthan0]

The formula for success is:

1. Block more trades
2. Add more crypto
3. Profit!

What a company name!

[fbobraga]

https://www.theonion.com/pleas... [theonion.com]

They must be struggling

[ayesnymous]

Usually brokers do well in this kind of volatile stock market.