Photo: MARK RALSTON / AFP / Getty Images
Carvana, the online used car retailer, is in the midst of a controversy after firing 12% of its staff, and inform part of it of the end of their employment relationship, through the Zoom video call platform.
According to testimonies, last Tuesday 10 in May an email was sent to the entire workforce in general, warning that there would be imminent job cuts, but without specifying who would be affected.
Caravan subsequently informed 2,500 workers, several of them from “operational positions”, who would no longer continue in the company. Those still employed were notified through personal notices and Zoom calls; some of them say that the calls were pre-recorded.
The online car dealer denied this accusation against him. One of her spokespersons regretted that a decision of this magnitude had to be made. He said the downsizing will bring better balance to his operations and help growth.
“Saying goodbye to any team member is not a We make this decision lightly and our goal is to be transparent, considerate and supportive throughout this process, including providing significant assistance, resources and support to affected team members,” he told Engadget.
The decision to cut employees comes in the midst of a series of falls for Carvana. In the first quarter of the year, the company reported a net loss of $260,,000 of dollars. The company says that the rise in prices in the country has caused the demand for vehicles to go down.
According to the most recent report from the Bureau of Labor Statistics, used cars increased in price 22.7% in April, year over year. The figure fell from 35.3%, compared to last March at the YoY
“Recent macroeconomic factors have pushed auto retail into recession. While Carvana continues to grow, our growth is slower than we originally planned on 2022 and we made the difficult decision to scale back sizing certain operations teams to better align with current business needs,” the company said.
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