Calm App Layoff Email

Even meditation apps get bad news. Although the Calm app grew quickly during the COVID lockdowns, the company is now laying off 90 of its 400 employees—more than 20%.

I can’t find the full email online, but the Wall Street Journal posted these quotes:

Regrettably, today we are reducing our overall workforce by 20%. While some of you will be impacted, all of you will be affected. I can assure you that this was not an easy decision, but it is especially difficult for a company like ours whose mission is focused on workplace mental health and wellness.

“We did not come to this decision lightly, but are confident that these changes will help us prioritize the future, focus on growth and become a more efficient organization.”

The article also describe what’s missing:

Mr. Ko’s memo didn’t elaborate on the reasons for the layoffs but promised employees “a more in-depth discussion on the future of the business” at an all-hands meeting scheduled for Friday. A Calm spokeswoman declined to make Mr. Ko available for an interview.

Typically, layoff memos explain reasons, which we know helps employees understand and accept bad news, as I describe in Chapter 8 of Business Communication and Character. More transparency and accountability might be useful.

Maybe Ko doesn’t want the reasons publicized, knowing that the email would be circulated. I also wonder whether the reasons are dire, and despite having a $2billion valuation, the company doesn’t yet have a solid plan for regrowth.