Delivery company Glovo reaches layoff agreement with 140 workers in Barcelona offices
Enterprise already announced plan to let 250 people go worldwide in January
The Barcelona-based delivery company Glovo agreed with the staff to lay off 140 workers from its headquarters in the city's 22@ district, as was announced on Thursday.
Workers also agreed to "not reveal any information in regards to compensations and financial amounts," Col·lectiu Ronda lawyers, the workers' consulting company, said.
The company had plan to lay off seven more workers, but the deal between the workforce and Glovo is "worthy and satisfactory" after all, Col·lectiu Ronda said.
These layoffs mainly affect workers who joined the company recently, in some cases only a few months ago.
Back in January, the co-founder and CEO of Glovo, Oscar Pierre, had already announced the plan to lay off 6.5% of the company's workforce.
Pierre explained in an email sent to workers that in October, the company started to see a "slowdown in topline yearly growth rates," affecting forecasts for 2023.
He added that as a company that has grown so quickly over recent years, part of the challenge has always been to scale the team in tandem.
Yet, Pierre acknowledged that "during each of the first three quarters of 2022, [Glovo] beat [their] topline growth targets," results which made the firm "optimistic" for 2023.
Despite the layoffs, the email pointed out that Glovo "still expects strong double-digit growth for 2023."