New York City, New York-based Lemonade Insurance Company, a property and casualty insurance company offering renters and home insurance policies for homes, apartments, co-ops, and condos, has announced that it will be making post-acquisition layoffs at San Francisco, California-based Metromile, a technology startup that offers pay-per-mile car insurance and licenses a digital insurance platform to insurance companies.
The reduction in force will affect 60 Metromile employees at Metromile's Tempe, Arizona office, including employees in the recruiting, product, engineering, and communications departments.
According to a company spokesperson, “We’re thrilled that we’ve finalized our acquisition of Metromile, and that we've been able to offer a role at Lemonade to about 80% of the Metromile team. The combined entity is better than the sum of its parts and can operate with fewer people than were needed to staff the two standalone. This makes the deal compelling to shareholders, but clearly is painful to those who weren't extended an offer to join Lemonade.”
The layoffs came immediately after the closing. Lemonade shares were down over 6% in afternoon trading and are more than 55% lower for the year. In April 2022, Lemonade laid off 50 employees.
Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?