Published just after 8:00 pm CEST last night, according to Manager Magazin, formerly 10-minute delivery, now "in minutes" delivery service Gorillas is handing out pink slips to around 320 employees in its Berlin headquarters office. The publication cited cost-cutting measures as the reason behind the layoffs, also noting that the closing of several national markets including Spain, Italy, Denmark, and Belgium is under consideration.
Just last year, Gorillas laid claim to the title fastest European startup to achieve a unicorn valuation, a feat accomplished in just nine months. However, it would appear that this growth came at a cost, as reports of horrific working conditions, delayed or inaccurate payments, and a number of other issues riders faced began to come to light. A workers collective was organised, courts have repeatedly been involved, and then there's this.
Business Insider reported at the end of February that Gorillas is seeking at least €630 million in its next funding round, and these dramatic cost-cutting measures could be used to put the company’s books in a better position when potential investors ask to see the numbers. And by numbers, I mean a clear path to profitability.
Gorillas has not yet responded to Tech.eu’s request for comment on the matter.