First Job Cuts Due To Coronavirus. Are More To Follow?
Oyo, the hotel start-up based in India and backed by Softbank, announced 5,000 job cuts from a workforce of 30,000 due to a demand downturn for its hotel partners from the outbreak of Coronavirus. The bulk of those cuts, 3,000, will occur in China, while the rest will be in the US and India, according to anonymous sources as reported by Bloomberg.
Meanwhile, Silicon Valley venture capital firm Sequoia Capital told CEOs to think about “doing more with less” as the outbreak ramps up in the United States causing softness in investing and consumer demand.
“No doubt concerns over the virus will impact Retail, Hospitality, and Travel in the short term, especially as people begin to stay away from crowds. We could see people stop eating out, going to department stores, or taking unnecessary trips,” said Andrew Challenger, Vice President of global outplacement and executive coaching firm Challenger, Gray & Christmas, Inc.