WeWork cuts nearly 20% of workforce in restructuring effort

NEW YORK (AP) — WeWork is slashing nearly 20% of its workforce in the wake of its failed stock market debut.

The shared office space company said it has laid off 2,400 of its approximately 12,500 employees to “create a more efficient organization.” WeWork said the job cuts began weeks ago in regions around the world and continued this week in the U.S.

WeWork is restructuring its money-losing business model, which turned off Wall Street investors and forced the company to pull out of an IPO.

Japanese tech conglomerate Softbank saved WeWork from the brink of bankruptcy with a $9.5 billion bailout.

WeWork co-founder Adam Neumann was forced out of the company with a $1.7 billion payout, stoking resentment among some employees now facing layoffs and a reduction in the value of their stock options.

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