n a recent development, Polygon Labs, the developer firm behind the layer-2 rollup network Polygon, has announced a significant reduction in its workforce. The company has cut 60 roles, which accounts for approximately 19% of its staff. This decision, as stated by Polygon Labs, is not driven by financial reasons but rather aimed at achieving enhanced performance.
A Strategic Move for Enhanced Performance
According to a blog post by Polygon Labs, the decision to downsize the workforce is a strategic move intended to improve overall performance. The focus is on working more effectively and efficiently. This step is in line with the company's mission to execute successfully and maintain a thoughtful approach to growth and development.
A Spin-Off for Polygon ID Team
In addition to the staff reduction, Polygon Labs also shared that the team responsible for Polygon ID will be spinning out of the firm in the coming months. This spin-off will allow the Polygon ID team to pursue their goals and objectives independently.
Positive Impact on Remaining Employees.
For the employees who have not been impacted by the layoffs, Polygon Labs has announced a positive change. These employees will receive at least a 15% increase in their total compensation, demonstrating the company's commitment to retaining and rewarding its valuable workforce. Additionally, Polygon Labs will be eliminating geo-pay models as part of its restructuring efforts.
Previous Restructuring Efforts
This recent downsizing is not the first time Polygon Labs has undergone a restructuring. In February 2023, the company laid off 20% of its staff in a similar move to streamline operations and adapt to changing market dynamics. The founders and the CEO of Polygon Labs acknowledge that challenging decisions are sometimes necessary to achieve their mission successfully.