Convene lays off 20 percent of workers as coronavirus hits flex-space - Business Insider

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Brookfield-backed Convene just laid off 20% of its workforce as the coronavirus upends flex-space and events industries

Convene, the event and coworking company backed by Brookfield, laid off nearly 150 employees on Thursday, Business Insider has learned. The company is also furloughing an unspecified number of its operational and front-of-the-house employees.

The New York-based company has 30 locations in the US and London, with about half in New York. Convene had about 900 employees at the end of 2019, CEO Ryan Simonetti told Business Insider in a. At that point, he said he planned to hire 400-500 new employees this year to keep up with the company's expansion.

A company spokesperson confirmed the layoffs and furloughs, and noted that no additional layoffs are planned.

"After closing all of our locations, we have had to take the additional measure of saying goodbye to nearly 20% of our team across the company and furloughing others, while ensuring they receive compensation and healthcare coverage for an extended period. This is incredibly difficult for us, but we're taking every measure possible to do right by our employees by providing both severance and healthcare coverage while ensuring we sustain our business for the long-term.

Unlike WeWork, Convene has focused on event space more than office space, offering higher-end amenities and services. As companies cancel meetings and conferences, their spaces may stay empty for some time. The company has raised $260 million in funding, including a $152 million Series D round of funding this summer that included investors ranging from asset management giant Brookfield to private equity magnate Leon Black's family office.affecting 1,000 staff.

 

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Yes communal working environments where freelancers or small companies work will see a permanent shift as a result of COVID19

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