April 06, 20 - 7:57 pm - LABS

Brazilian C6 Bank and marketing startup Rock Content lay off staff

Brazilian marketing platform Rock Content cut 20% off its staff, as announced by its CEO this Monday in a company blog post. The startup, which would reach break-even in the last quarter of 2020, said it has been largely affected by the crisis and even with spending cuts and freeze on new hirings, it couldn’t avoid the effects of COVID-19 in its small business division in Brazil, that represented nearly 20% of its revenues and employed the largest number of workers.

“In the past two years, we have gradually directed our efforts towards the medium and large companies market, and this decision has spared us an even greater impact. If COVID-19 had happened 18 months ago, there would be a great chance that we would not survive as a company,” stated CEO Diego Gomes in the memo. In addition to explaining the company’s efforts to curb the pandemic’s effects on Rock Content’s operation previous to the layoffs, Gomes has disclosed the startup’s measures to encourage other companies seeking talents to hire its former collaborators.

“As soon as we saw that layoffs were inevitable, we began to devise a plan to treat all affected Rockers [employees] in a fair and dignified manner. In addition to all the legal rights required in the countries in which we operate, we offer all dismissed people an additional compensation package based on their time with the company, extended health insurance and relocation support.”

Diego Gomes, Rock content ceo, in a company blogpost

Earlier this month, Brazilian fintech C6 Bank dismissed its employees, also pushed by impacts of the coronavirus pandemic on business, as reported by Valor media outlet. “During the economic downturn, we made adjustments in several areas,” said C6 Bank in response to the newspaper. “The cuts represent less than 8% of the workforce, of around 1,000 people.”

Friday, April 3rd, fitness plans startup Gympass also dismissed part of its staff. According to news published by Forbes Brasil, almost a third of the employees were laid off.