Magic Leap raises $350 million and puts layoffs on hold

Magic Leap has been struggling for quite a while now, but the past year has been especially difficult due to poor sales and the coronavirus pandemic. Back in April, the company announced that it’s laying off employees at every level, and The Information reported that around 1,000 people would lose their jobs. Now, the mixed-reality…

Magic Leap has been struggling for quite a while now, but the past year has been especially difficult due to poor sales and the coronavirus pandemic. Back in April, the company announced that it’s laying off employees at every level, and The Information reported that around 1,000 people would lose their jobs. Now, the mixed-reality headset-maker has finally caught a break — according to Business Insider and The
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Opinion | Laurene Powell Jobs Wants to Be a Press Savior, Not a Martyr

Laurene Powell Jobs. | Dia Dipasupil/Getty Images Jack Shafer is Politico’s senior media writer. Billionaires who are brave enough to enter the publishing space don’t mind losing money on it—they call it “investing”—until the day they do. That day came today for Laurene Powell Jobs, who has owned the majority stake in Atlantic Media since…

Laurene Powell Jobs. | Dia Dipasupil/Getty Images

Jack Shafer is Politico’s senior media writer.
Billionaires who are brave enough to enter the publishing space don’t mind losing money on it—they call it “investing”—until the day they do. That day came today for Laurene Powell Jobs, who has owned the majority stake in Atlantic Media since 2017, and whose management just laid off 17 percent of its headcount, cut pay for executives and put a freeze on salaries.
The Jobs cuts—pun intended—are different from the media layoffs scattering the landscape like scenes of battlefield carnage. The running tabulation of media layoffs, furloughs and pay-cuts by Poynters’ Kirsten Hare is enough to make the darkest newsroom cynic choke on his own bile. Alt-weeklies, dailies, monthlies, digital, TV and radio—every media entity that depends on advertising or corporate support—has been savaged by the coronavirus pandemic’s economic downturn. Even Protocol, a new site started by POLITICO’s parent company, was forced to cut back recently.
But these businesses have eliminated jobs and downsized operations out of necessity, not choice. Laurene Powell Jobs, net worth $26 billion, could have preserved in perpetuity the 68 Atlantic positions she just jettisoned and never noticed the dip in her portfolio unless a forensic accountant alerted her to it. The fact that she noticed shows that, like the billionaires before her, Jobs keeps her eyes on her pennies and has only so much tolerance for loss. She’s happy to be a vanity press savior but not a martyr.

The most charitable way to read the layoffs would be as Jobs’ continued endorsement of the Atlantic itself, the flagship magazine around which former
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Planned Parenthood Is Furious Republicans Want to Claw Back Their Bailout Money

The $2 million coronavirus relief loan Planned Parenthood of Southwest and Central Florida received from the federal government was a lifeline. The Planned Parenthood affiliate, which operates 10 health clinics in the region, had been pulverized by the coronavirus pandemic, and CEO Stephanie Fraim had spent days agonizing over whether she’d have to lay off…

The $2 million coronavirus relief loan Planned Parenthood of Southwest and Central Florida received from the federal government was a lifeline. The Planned Parenthood affiliate, which operates 10 health clinics in the region, had been pulverized by the coronavirus pandemic, and CEO Stephanie Fraim had spent days agonizing over whether she’d have to lay off employees. The loan, Fraim knew, would help people keep their jobs. It would help Floridians keep their healthcare. Then, only a few weeks later, a Fox News report came out: The U.S. government wanted to claw back the money it’d given to Planned Parenthood affiliates across the country. And it might even levy penalties. Within hours, Republican senators piled on, calling for an investigation into the report’s claims that 37 Planned Parenthood affiliates collectively received more than $80 million in federal funds earmarked for small businesses crippled by the pandemic. But Planned Parenthood says this is part of a larger, targeted attack on reproductive rights. “It was crystal-clear that we met every single criteria that they had set out for applying to this loan,” Fraim said. “At the time that we were getting this loan, the economic uncertainty and our outlook was grim. All U.S. businesses and healthcare providers especially were facing — it was happening so rapidly, businesses were closing so rapidly. That moment was treacherous. And this loan came along at an important time.” Fraim estimates that she’s already spent about half the money to stay afloat. Planned Parenthood has nearly 50 affiliates scattered across the country, all of which are incorporated as separate 501(c)(3)s and operate independently of the mothership organization, Planned Parenthood Federation of America. Each affiliate has its own leaders and board, files its own tax documents, and oversees its own health centers within a geographic region. READ: Trump’s anti-abortion policies are hurting coronavirus vaccine research Many also employ fewer than 500 people — the cutoff level for receiving loans from the Paycheck Protection Program, which is intended to quickly infuse organizations with the cash they need to cover payroll and keep the lights on through the pandemic. But anti-abortion Republicans are not sympathetic to that plight. “Planned Parenthood is not a small business. It is a multibillion-dollar company,” Missouri Sen. Josh Hawley, a Republican and die-hard abortion opponent, wrote in a letter to the head of the Small Business Administration on Wednesday. He added, “It is
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No One Wants to Fire Employees. Here Are Some Alternatives to Layoffs.

Try these strategies for cutting costs, not people, during the crisis. Grow Your Business, Not Your Inbox Stay informed and join our daily newsletter now! May 21, 2020 7 min read Opinions expressed by Entrepreneur contributors are their own. Companies around the globe are announcing major layoffs because of the economic impact of COVID-19. Even…

Try these strategies for cutting costs, not people, during the crisis.

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Stay informed and join our daily newsletter now!

May
21, 2020

7 min read

Opinions expressed by Entrepreneur contributors are their own.

Companies around the globe are announcing major layoffs because of the economic impact of COVID-19. Even if you’re a leader who has held onto your staff thus far, you’ve probably considered letting some people go. Before you head down that difficult route, I encourage you to look into viable, sometimes unconventional, alternatives to downsizing a workforce.It’s not just about avoiding a layoff (although that in itself is a strong motivator). Businesses that handle this unprecedented situation well by retaining their superstars will bounce back faster and enjoy increased levels of employee loyalty.If you’re poised to initiate reductions, wait until you have no other option and investigate how to avoid workforce reduction. Getting rid of workers may ease the short-term strain on your budget, but letting go part of your workforce has long-term effects.Why layoffs leave lasting woundsResearch shows that letting go of just 1 percent of your team can significantly decrease the engagement, performance and job satisfaction levels of your remaining staff. Why? The ones who are left experience survivor guilt and feel they’re expendable when it comes to the company making ends meet. Sure, you’ll still have the rest of your workers, but they’re apt to lose their sense of faith, loyalty and confidence in your company after saying goodbye to co-workers.So regardless of what you may have heard or read, you don’t want to trim your workforce. Instead, look at the coronavirus pandemic as an opportunity for your corporation to stand out and illustrate humanity and compassion. The best way to do that is to learn how to cut costs without laying off employees (and then apply those cost-cutting strategies ASAP).Related: How to Trim Payroll Without LayoffsIn addition to exploring how to avoid workforce reduction, you should encourage open communication throughout your company. Withholding information could lead to employee assumptions: “If that company let everyone go, my employer will, too!” Your employees know you’re trying to figure things out, so the more you communicate as a leader, the less they’ll wonder whether you’ll start letting people go. You may even want to announce that you’re actively looking into alternatives to layoffs and downsizing to allay rumor
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U.S. state unemployment payments in April jump five-fold from February

WASHINGTON (Reuters) – Unemployment payments jumped to at least $16.2 billion in April, up more than five-fold from February, as layoffs attributed to the coronavirus pandemic swept through the economy. Signage is seen posted on the entrance of the New York State Department of Labor offices, which closed to the public due to the coronavirus…

WASHINGTON (Reuters) – Unemployment payments jumped to at least $16.2 billion in April, up more than five-fold from February, as layoffs attributed to the coronavirus pandemic swept through the economy. Signage is seen posted on the entrance of the New York State Department of Labor offices, which closed to the public due to the coronavirus disease (COVID-19) outbreak in the Brooklyn borough of New York City, U.S., March 20, 2020. REUTERS/Andrew KellyThe figure is still preliminary, with April payment data for six states including Florida and Michigan still not available on a Department of Labor Web site that provides detailed unemployment insurance information from the 50 states and the District of Columbia. But the filings available so far show the scale of the payments moving through the economy and
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Mortgage delinquencies surge by 1.6M in April, the biggest monthly jump ever

Jessica Menton, USA TODAY Published 12:01 a.m. ET May 21, 2020 | Updated 3:05 p.m. ET May 21, 2020CLOSE You can put off paying your mortgage during the coronavirus pandemic due to the CARES Act. However, many are left anxious due to confusing messages. WochitDelinquencies among borrowers for past-due mortgages are soaring, a sign that…

Jessica Menton, USA TODAY
Published 12:01 a.m. ET May 21, 2020 | Updated 3:05 p.m. ET May 21, 2020CLOSE

You can put off paying your mortgage during the coronavirus pandemic due to the CARES Act. However, many are left anxious due to confusing messages.

WochitDelinquencies among borrowers for past-due mortgages are soaring, a sign that Americans are struggling to pay their bills amid a wave of layoffs and lost income from the coronavirus pandemic.Mortgage delinquencies surged by 1.6 million in April, the largest single-month jump in history, according to a report from Black Knight, a mortgage technology and data provider. The data includes both homeowners past due on mortgage payments who aren’t in forbearance, along with those in forbearance plans and who didn’t make a mortgage payment in April.At 6.45%, the national delinquency rate nearly doubled from 3.06% in March, the largest single-month increase recorded, and nearly three times the prior record for a single month during the height of the financial crisis in late 2008, Black Knight said. CLOSE

The federal government CARES Act and various cities and banks are offering relief. Here’s what you should know.

USA TODAYGet me out of here! Americans flee crowded cities amid COVID-19, consider permanent movesDo I qualify
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‘Can I Ask My Boss if Layoffs Are Coming?’

I am an admin at a large public university that has gone fully remote. Through the Covid-19 crisis, everyone is keeping their jobs with full pay, even if they can’t fulfill all their duties or find work for all their hours remotely. However, I am worrying about the fall, when the full economic impact of…

I am an admin at a large public university that has gone fully remote. Through the Covid-19 crisis, everyone is keeping their jobs with full pay, even if they can’t fulfill all their duties or find work for all their hours remotely. However, I am worrying about the fall, when the full economic impact of the coronavirus is felt, resulting in the possibility of fewer students enrolling. If significantly less students enroll, budgets may shrink and that may result in layoffs. I worry I may be among those laid off, as I am the newest hire in my office. To be clear, this is my own reasoning, not anything I’ve heard from higher-ups. When is it OK to start asking my supervisor about the possibility of layoffs? If I need to job search, I would ideally like to start now, as I have little savings and couldn’t make it work for very long without an income. So here’s the thing about asking your employer about the possibility of layoffs: Most of the time, you can’t fully rely on an answer that tells you your job is safe. Most employers who are considering layoffs don’t announce them until they’re ready to actually lay people off. They often won’t acknowledge that cuts are being planned, and even more often they won’t tell you that your job is one of the roles being targeted. That might sound heartless—after all, surely they should warn people so employees aren’t blindsided and can get a head start on job searching, right? But there are a few reasons employers so often play it close to the ves
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United’s CEO hints the airline could avoid layoffs if employees are willing to take huge cuts in their work hours instead (UAL)

United Airlines CEO Scott Kirby said on Wednesday that the airline could avoid layoffs of front-line workers if they agreed to reduced work hours until the economic crisis brought on by the coronavirus ends.Kirby said in an appearance on CNBC that the airline was working with labor unions to try and reach an agreement.The airline has…

United Airlines CEO Scott Kirby said on Wednesday that the airline could avoid layoffs of front-line workers if they agreed to reduced work hours until the economic crisis brought on by the coronavirus ends.Kirby said in an appearance on CNBC that the airline was working with labor unions to try and reach an agreement.The airline has previously said it would need to be “smaller” on the other side of the downturn, and that “at least” 30% of management and administrative workers would be cut. It was not clear whether those workers would be included in a potential plan to avoid layoffs.Visit Business Insider’s homepage for more stories.

United CEO Scott Kirby said on Wednesday that the airline could avoid layoffs if employees are willing to take significant cuts to their work hours until travel demand resumes. Kirby’s comments, which aired on CNBC on the day he began his new role as CEO, were an unexpected reversal from an airline that has been warning since March of mass layoffs to come later this year.Kirby was previously president at the airline. It was announced late last year that he would take over from former CEO Oscar Munoz this month.”We are hopeful at United that we can work with our unions to variablize our pay structure and frankly, not lay anyone off, not furlough any of our frontline employees,” Kirby said. “Instead, using voluntary programs, and in particular, asking people to work fewer hours until we get th
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Indian ride-hailing firm Ola cuts 1,400 jobs

Ola said on Wednesday it is cutting 1,400 jobs in India, or 35% of its workforce in the home market, as the ride-hailing firm works to reduce its expense to steer through the coronavirus pandemic that has severely impacted mobility companies in the country. Bhavish Aggarwal, co-founder and chief executive of Ola, shared the job…

Ola said on Wednesday it is cutting 1,400 jobs in India, or 35% of its workforce in the home market, as the ride-hailing firm works to reduce its expense to steer through the coronavirus pandemic that has severely impacted mobility companies in the country.
Bhavish Aggarwal, co-founder and chief executive of Ola, shared the job elimination update with the team in an email today, in which he also revealed that the company’s revenue had dropped by 95% in the last two months as India enforced a stay-at-home order for its 1.3 billion citizens in late March.
An Ola spokesperson told TechCrunch that only employees working in mobility and food operations were impacted and that the job cuts were limited to teams in India. Ola Electric, a separate entity of the ride-hailing firm, remains unaffected of the layoffs.
“We had all hoped in the beginning that this would be a short-lived crisis and that its impact would be temporary. Over the past couple of months, all members of our extended leadership team have taken significant salary cuts to be able to help the organization delay tougher people decisions as we waited for the situation to evolve. But unfortunately, it’s not been a short crisis,” Aggarwal wrote in the email, which
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How to Survive a Layoff or Furlough During the Pandemic [Infographic]

Within one month of broad acknowledgment by US authorities of the seriousness of the COVID-19 pandemic—by April 15—some 22 million Americans, fully 13.5% of the workforce, had filed an initial unemployment claim. Layoffs and furloughs have become a prevalent part of our lives during the COVID-19

Within one month of broad acknowledgment by US authorities of the seriousness of the COVID-19 pandemic—by April 15—some 22 million Americans, fully 13.5% of the workforce, had filed an initial unemployment claim.
Layoffs and furloughs have become a prevalent part of our lives during the COVID-19
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