On Deck Cuts Staff Again Over ‘Fractured’ Focus During 2-Year Growth

On Deck has laid off people again three months after the platform that connects founders to capital and other company founders cut about a quarter of its staff. The company did not comment on the exact number of people that were removed in the latest round of layoffs.

More than 100 people have been affected by the recent round of layoffs, TechCrunch reported Thursday citing sources. According to the report, the company confirmed the layoff via email but it said that 73 full-time workers lost their jobs. The outlet pressed for information about the contradicting figures provided by sources and the company, but On Deck did not comment further.

On Deck co-CEOs David Booth and Erik Torenberg addressed the layoffs, writing in a Thursday blog post that a restructure is taking place in the company, leading to the decision of “parting ways with a number of talented teammates.”

Booth and Torenberg explained that the “broad focus” during “the past two years of hyper-growth” led to a “fractured” focus and brand. The co-CEOs said people affected by the layoffs will receive 8 weeks of pay, 3 months of “accelerated option vesting, and 3 months of healthcare coverage where applicable.”

The company is also providing a list of employees searching for jobs to employers who may be interested in hiring former On Deck workers.

News of the recent job cuts came three months after On Deck laid off 25% of its total workforce. At that time, 72 people were affected. Earlier, reports said that the early May layoffs affected employees in investing and operations positions.

At that time, Booth and Torenberg said in a blog post that the company is “committed to leveraging the full weight of On Deck’s network and community to support” transitioning employees. The company also said affected workers “can expect an additional 2 months of pay, 3 months of equity, and 3 months of health benefits.”

On Deck, launched in 2019, is a tech company that provides network and capital support for emerging founders or fund managers. According to its official website, On Deck “is for people who are exploring the possibility of starting a company, but are unsure if that’s exactly what they want to do.”

On Deck is just one among a growing list of tech companies and startups laying off people in the past few months. Just this week, online music streaming platform SoundCloud announced that it is cutting 20% of its global workforce.