By Hannah Lang
(Reuters) -Retail trading platform Robinhood Markets Inc said on Tuesday it is laying off about 23% of its employees, sending its shares down more than 3% in extended trading.
The company is also changing its organizational structure to “drive greater cost discipline,” Robinhood Chief Executive Officer Vlad Tenev said in a blog post https://blog.robinhood.com.
Robinhood had already slashed 9% of its workforce in April, saying the company’s growth had led to some duplicate roles and job functions. Tenev said Tuesday that those cuts did not go far enough.
“As CEO, I approved and took responsibility for our ambitious staffing trajectory – this is on me,” Tenev said.
Robinhood’s easy-to-use interface made it a hit among young investors trading from home on cryptocurrencies and stocks such as GameStop Corp during the COVID-19 pandemic.
However, the company has posted declines in revenue as its customer base has been spooked by rising interest rates and decades-high inflation.
(Reporting by Hannah Lang in WashingtonEditing by Chris Reese and Lisa Shumaker)
