Robot maker iRobot laid off 10 percent of its workforce even though it was bought by Amazon for $1.7 billion.
The firm says it is in the course of “restructuring its operations” to balance its cost structure with near-term revenue.
The restructuring is estimated to result in net savings ranging from $5 million to $10 million in 2022 and $30 million to $40 million in 2023.
READ MORE: “ERRATIC URBAN REBOUND” LEADS TO SWEETGREEN CUTTING STAFF AS SALES SLUMP
It said in its quarterly earnings report: “The actions are expected to result in a net reduction of approximately 140 employees, which represents 10 percent of the company’s workforce as of July 2, 2022.”
The current cut removed twice the number of employees the robot maker slashed in April 2020 at the start to at the onset of the pandemic.
The redundancies at the Bedford-based firm happened after Amazon confirmed an all-cash takeover of iRobot for $1.7 billion.
Colin Angle will continue to lead iRobot as CEO till the deal is completed.
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Angle said: “Since we started iRobot, our team has been on a mission to create innovative, practical products that make customers’ lives easier, leading to inventions like the Roomba and iRobot OS.”
“Amazon shares our passion for building thoughtful innovations that empower people to do more at home, and I cannot think of a better place for our team to continue our mission.”
The company developed the first Roomba robot vacuum in 2002 and has since sold millions of cleaning, mapping, and navigation robots worldwide.
Source: Business Insider
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