High-profile fintech Robinhood Markets Inc. (NASDAQ: HOOD) is closing its Charlotte office after a second round of companywide layoffs was announced this week. The office, at 650 S. Tryon Street, opened in September 2021 — just under a year ago.
The online stock-trading app company’s CEO, Vlad Teven, released a statement saying 23% of workers will be let go. The cuts are concentrated in operations, marketing and program management. Robinhood had already reduced its workforce by 9% in April.
Teven referenced high inflation and a “broad crypto crash” as primary reasons for the layoffs.
In Charlotte, 82 people are being dismissed, according to a Worker Adjustment Notification Act filing. The local layoffs are expected to be permanent.
"As part of a broader company reorganization, we have decided to close our office in Charlotte," said Casey Becker, a Robinhood spokesperson. “Employees in Charlotte who remain with Robinhood will begin working under our work-from-anywhere model."
Becker could not confirm when the region’s office will officially shut down nor how many local employees remain with the company.
The Charlotte office was focused on customer experience roles, including analysts, customer service staff and operations personnel, CBJ previously reported. Average annual wages for jobs here were $76,450.
Menlo Park, California-based Robinhood, founded in 2013, was expected to add 389 jobs in Charlotte by 2025. The company anticipated an $11.8 million investment here, including $5.9 million in real property commitments.
Departing companywide staff will be able to remain employed with Robinhood until Oct. 1, according to Teven's statement on the company's blog. Workers will receive their regular pay and benefits. The company will also offer job-search assistance.
Due to driving better “cost discipline and accountability,” Robinhood will change the company’s structure, states Teven in the blog. It will now move to a general manager system with an expectation to reduce hierarchies, cross-functional dependencies and remove needless roles and positions.
