- Venture-backed startup for business travel, Zeus Living, fired 30% of its employees or nearly 80 employees on Tuesday.
- Zeus Living joins Venture-backed hospitality companies Sonder and Lyric, which fired all employees this month as the corona virus slows the journey.
- Zeus Living raised $ 55 million from a number of supporters, including Airbnb and Comcast, at the end of last year.
- Zeus Living rents furnished properties for stays of more than 30 days in subway areas across the country, including New York, specifically for business travelers.
- The company maintains direct partnerships with other companies, such as the roller startup Bird, which use Zeus as a replacement for hotels for long-term stays for employees.
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Zeus Living, an Airbnb-supported business travel startup, has just fired its employees when the coronavirus improves hospitality and real estate, Business Insider has learned.
In a statement to Business Insider, the company confirmed that 30% of the employees, or almost 80 employees, were fired.
Zeus Living rents furnished properties for stays of more than 30 days in six subway areas in the country, including New York, especially for business travelers. The company maintains direct partnerships with other companies, such as the roller startup Bird, which use Zeus as a replacement for hotels for long-term stays for employees.
The company collected a $ 55 million Series B round last December, valued at $ 205 million, from a number of supporters, including Airbnb and Comcast. The company previously raised $ 14 million in risk financing in two rounds.
"Given the impact of COVID-19 on the real estate industry, we are sad today to announce a 30% staff cut. Our employees have made Zeus an exceptional location," a company spokesman said in a statement to Business Insider. "These are colleagues and friends who have helped build Zeus and whose contributions have been invaluable. We remain steadfast in our commitment to our residents and communities, especially to health care professionals and the authorities who work tirelessly to combat them Pandemic work. "
The corona virus has triggered a wave of layoffs in the venture-backed real estate startup world. Lyric, another hotel company that raised Airbnb money, cut 20% of its employees in early March. according to a report from The Real Deal.
Sonder, a venture-backed hotel and rental company, has laid off or taken leave of more than 400 people or a third of their employees. The information was reported earlier on Tuesday. Special CEO Francis Davidson confirmed that there had been layoffs in one Medium post posted on Tuesday. The news came just a day after Sonder announced it would open a full apartment hotel in Lower Manhattan in the first half of this year.
There were other layoffs outside of the hospitality and flexible rental space: Brookfield-supported flex and event space company Convene fired 20% of its employees last week, while Softbank-supported broker Compass announced layoffs of 15% of its employees on Monday.