Headspace lays off 13% of workforce

Headspace has laid off around 13% of its employees, a spokesperson told Becker's. 

A spokesperson told Becker's the workforce reduction took place Nov. 20. The company did not say how many workers were affected. 

Most of the laid-off workers were in go-to-market and product roles, the spokesperson said. 

"We recently made organizational changes at Headspace that aim to accelerate the evolution of our product and service offerings and position the business for continued, sustainable growth," the spokesperson said. "This included reducing the size of our workforce by 13% and sharing our intention to transition our therapy team to a flexible network model in March 2025." 

Headspace, a digital mental health company based in Santa Monica, Calif., named Tom Pickett CEO in July. Mr. Pickett was most recently chief revenue officer at DoorDash, and spent a decade at Google in various roles. 

The company launched direct-to-consumer mental health coaching in April. Headspace offers wellness coaching through employers and health plans and a digital medication app for consumers. 

"These changes enable us to invest more deeply in the capabilities needed to deliver affordable, tech-enabled care that produces superior mental health outcomes at scale," the spokesperson said. "We're fully committed to supporting our impacted employees and care providers during this transition." 

In 2023, the company laid off 181 employees — around 15% of its workforce — according to the Los Angeles Times. 

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