These Seattle-area tech companies have laid off employees in recent months

A number of Seattle-area tech companies have faced difficult choices in recent months.

With rising interest rates, sky-high inflation and deteriorating market conditions, tech startups are being much more cautious about their hiring plans in 2022. The outlook stands in stark contrast to last year, when local startups pursued ambitious growth plans as investors showered them with record-shattering amounts of venture capital.

Even though venture capital activity in the Seattle area, as measured by deal value, is mostly keeping pace with 2021, multiple local tech companies are laying off employees to protect their balance sheets.

Below are some of the most notable layoffs at local tech companies since the start of June.

Convoy

HQ: Seattle

Employees affected: Seven percent of the headcount, or roughly 90 employees

Details: The move came less than two months after Convoy raised $260 million, including $160 million in Series E equity funding and $100 million in venture debt, and reached a value of $3.8 billion. At the time of the raise in late April, Convoy Chief Growth Officer Ryan Gavin said the company had about 1,300 employees.

Redfin

HQ: Seattle

Employees affected: About 6% of its total workforce, or roughly 470 employees

Details: The layoffs finished by the end of June, according to paperwork filed with the Securities and Exchange Commission. The company cited market conditions in the filing.

Esper

HQ: Bellevue

Employees affected: 12% of its staff

Details: The decision came almost nine months after Esper's $60 million Series C round in October when the company had around 150 employees. A company spokesperson confirmed the layoffs but didn't provide current information on headcount before the layoffs.

Qumulo

HQ: Seattle

Employees affected: About 80 employees, or more than 18% of its staff

Details: With the layoffs, Qumulo has about 350 employees remaining. The move came after Qumulo raised a $125 million Series E round and reached a value of more than $1.2 billion in 2020.

Sendle

HQ: Sydney, Australia; the company's U.S. headquarters are in Seattle

Employees affected: 12% of its staff, according to a report from the Australian news outlet Startup Daily

Details: The layoffs account for about 26 positions, the report noted. Sendle didn't respond to multiple requests from the Business Journal for further information.

Flyhomes

HQ: Seattle

Employees affected: About 20% of its staff

Details: As of January, Flyhomes had roughly 820 employees, but the company didn't specify how many total employees were affected by the layoffs. The company raised a $150 million Series C round in June 2021, when co-founder and CEO Tushar Garg told the Business Journal Flyhomes had between 350 and 400 employees. In a LinkedIn post announcing the layoffs, the company cited rising interest rates and lower demand for housing as reasons for reducing staff.

Flexe

HQ: Seattle

Employees affected: "A small handful"

Details: Flexe made adjustments to its hiring plan and was slightly overstaffed, resulting in layoffs "to a small handful of employees on the recruiting team," a company spokesperson said. The move came just weeks after Flexe raised a $119 million Series D round and reached a value of more than $1 billion in early July.

Rad Power Bikes

HQ: Seattle

Employees affected: 63

Details: The cuts followed 100 layoffs in April when Rad Power shuttered its mobile services arm. This time around, the company cited an uncertain global economic outlook and higher operating costs as the cause of its layoffs.

98point6

HQ: Seattle

Employees affected: LinkedIn posts from laid-off employees indicate the entire creative team was cut.

Details: On July 22, the company confirmed it had reduced its workforce but didn't provide details on how many employees were affected or provide a total headcount. Former employees' LinkedIn posts also indicate marketing roles were cut.