30 comments

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braintank
Politicker
11
Enterprise Account Executive
Sad for impacted employees but food delivery just isn't sustainable. Margins are too thin and too much competition.
Diablo
Politicker
3
Sr. AE
If you look at the bottom line they are profitable and have enough cash as well! God knows what’s wrong.
Sunbunny31
Politicker
3
Sr Sales Executive 🐰
Belt tightening. Trying to make do with less.
bonez
Politicker
7
Account Executive
When does an industry layoff season like this typically end? I remember during the Great Recession it seemed to last years but that was also across every sector it seemed.
antiASKHOLE
Tycoon
5
Bravado's Resident Asshole
Ouchie. Like @braintankmargins are so low it's killing the restaurants
TennisandSales
Politicker
5
Head Of Sales
this one makes more sense than many others. this concept was super cool but its been proven to just NOT be sustainable/profitable with the current strategy most companies are taking.
bonez
Politicker
2
Account Executive
Agreed. This one does make more sense, sad for the employees but I do get it. I feel like a lot of Covid era booms are royally busting. Not sure how many will recover.
CuriousFox
WR Officer
3
🦊
Damn. I feel bad for them.
Diablo
Politicker
3
Sr. AE
Really sad. It’s over 7% of the strength!

I hope we don’t have any such layoff plans as we have been sent all hand meeting invite🤞
UserNotFound
Politicker
0
Account Executive
Godspeed, brethren!
Mobi85
Politicker
3
Regional Sales Manager
That sucks for the employees but this move is not all that surprising. As @braintanksaid the margins are razor thin and delivery services have become to abundant in major metro areas.

I couldn't even fathom the amount of Overhead that DoorDash was carrying with all the employees and still trying to be profitable.

I hate saying this but I wouldn't be surprised if we don't see layoffs coming soon from other delivery service companies.
Gyro25
Notorious Answer
3
Account Executive
Door dash charges significantly more on their own menu vs the restaurant's menu and dashers get paid pennies on the dollar + tip. Terrible margins for local mom-and-pop restaurants.

This is one area where I wish tech didn't expand so rapidly since it disproportionately affects local restaurants and people in the service sector.
UserNotFound
Politicker
1
Account Executive
I don’t use food delivery services much (the perks of having a husband willing to drive all over to avoid paying tips)… didn’t realize they put so much markup on menu items!
Kosta_Konfucius
Politicker
2
Sales Rep
Damn it’s really crazy
Diablo
Politicker
1
Sr. AE
It’s so so crazy. One of my friends work there and they got like several emails early morning today.
Kosta_Konfucius
Politicker
1
Sales Rep
Dang, hopefully they weren't impacted. Did they lay everyone off via email?
Diablo
Politicker
1
Sr. AE
Hell yeah! Email.
FinanceEngineer
Politicker
2
Sr Director, sales and partnerships
In NYC, they are talking about a $24 /hr minimum wage for delivery workers. Might even be more.
Blue_Turtle
Opinionated
0
sdr
We desperately need new high density builds because the cost of living is out of control. People see that high minimum wage and think it’ll cause more inflation but the rate of spending can’t increase when people are spending it on necessities. Also, half the dollars in existence were printed in 1 year and the majority never saw consumers’ pockets, in the biggest transfer of wealth in our history. So with ordinary people being impacted it seems everything is being done that isn’t a solution, and we’re in gilded age 2.0 that’s just widening the gap even worse than the first time around.
Blue_Turtle
Opinionated
0
sdr
Sorry, that comment was in reply to the minimum wage discussion. Wouldn’t even be needed if COL wasn’t so damn out of control and spiraling further.
BlueJays2591
Politicker
2
Federal Business Dev Director
Companies grew too fast instead of focusing on sustainable growth.
activity
Politicker
1
VP, Business Development
I feel for all the employees affected. I hope they are all able to find positions quickly, especially at this time of year.
Diablo
Politicker
0
Sr. AE
Agreed but they got good severance package so hopefully that would help
punishedlad
Tycoon
1
🧙‍♂️
Buddy of mine works at Doordash and was spared from the layoff. Posted the classic "please use our DD alumni network if you want to hire some super talented/dedicated folks" on LinkedIn.
LightingLeader
Politicker
0
Specification Sales
Always wanted to get into tech but now I’m thankful I’m not in tech
ABell
Good Citizen
0
sales recruiter
These lay-offs are largely due to the over hiring during the tech boom of the pandemic. Companies are now trimming the fat( over-priced talent) and keeping those who are most needed for the survival of the company ( in the upcoming recession).
Ruderuthless
0
Account Executive
Sadness. As someone who was also impacted by layoffs it just drives the blade deeper. I feel the pain again and empathize with a day like this. Also, as I continue to search it adds more anxiety.
BrianTracysLoveChild
Fire Starter
0
Account Manager
I am curious what the split is of the 1,250 - sales, customer service, development, and operations. Doordash operates its own confectionary stores in major cities competing against some of its customers.

Unless the food delivery industry does more exclusive deals.... at some point, haven't all the restaurants been captured into at least one platform?

I think their 1250 is a scary number but like all things pandemic-related, including inflation, at some point the pendulum swings the other way - this 1250 could have been add's over the pandemic to deal with demand.
Lambda
Tycoon
0
Sales Consultant
Layoff's mean opportunity, use it as a sign to improve your skilset and get out into the workforce wherever they take you

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