It’s not easy for fintechs. After companies like hash and ebanx promote mass layoffs in recent months, the investment management app Warren joins the bird club. By the time of publication of this report, more than 50 names were already on the list of people dismissed.
The news is already making the rounds on social media, with users pulling up the names of people laid off on an online spreadsheet, which is being updated as the layoffs are being made. According to the report by the startups, the cuts mainly hit the technology area, in areas such as front-end, UX and data engineering. Warren employs more than 700 people, according to the company’s page on LinkedIn.
Searched for by the startupsa Warren confirmed the layoffs, stating that the cuts are part of a “series of process and project reviews”, which resulted in the restructuring of several areas of the business. However, the company did not provide details on the number of layoffs or on the areas that were shut down or revamped.
In addition to the technology area, cuts were also made in areas such as administrative, purchasing and marketing, including the company’s CMO, Lilian Faria. According to one of the sources heard by the report, the company had already fired several high-ranking executives from the company’s marketing last month, without much fanfare.
Another curious detail are cuts in the education part, including the director of the area, Alessandra Chemello. This comes a few months after fintech launched a platform dedicated to educational content for investors, Warren Edu.
According to sources heard by the startupsthe dismissal took many by surprise, with the company raising in the last month an extension of its series C of R$ 300 million, with a contribution from Citi Ventures, of undisclosed value. “The justification [para os cortes] was restructuring and changing the company’s strategy,” said a source close to the company. Warrenbut who preferred not to be identified.
Another source, who also declined to be revealed, quoted the startups another reason for dissatisfaction on the part of the dismissed. In June, the Warren promoted a two-day music festival in Santa Catarina. The Warren Stannis Festival brought together around 10,000 people, with concerts by artists such as Titãs, Ratos de Porão, Tropikillaz, Raimundos and others. “It’s a lot of crazy, a lot of wrong decision! How are employees feeling? Really bad,” he said.
Another interesting parenthesis: this week the multinational fintech Belvo announced its new VP of finance, Leandro de Piano. For more than three years he was a partner in Warren, holding the position of CFO of the company from 2019 to February 2022, when he assumed the position of Chief Administrative Office (CAO). De Piano left the Warren in June.
Check out the note below Warren in full:
After 6 M&As carried out, incorporating all the companies’ employees, the Warren carried out a series of process and project reviews, in addition to numerous assessments, which resulted in the restructuring of areas, the prioritization of initiatives and the readjustment of the workforce.
In order to continue offering an increasingly better investment platform to its clients, Warren will focus on generating efficiency in the development of its services and products. We are the largest managed portfolio manager in Brazil and we continue with the strong purpose of offering a conflict-free experience to Brazilians.
To the professionals involved in this process, the Warren will offer a support package, which includes extended health insurance, career advice and other support materials.