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New Tech-Linked Layoffs Jolt San Francisco Bay Area

Tesla, AppLovin and a custodial service for the owner of the Facebook app disclosed plans for a combined total of 659 job cuts in the Bay Area, the WARN notices filed with the state Employment Development Department show.

Bay Area Ferry
(TNS) — Layoffs linked to the tech sector have unleashed job cuts affecting several hundred Bay Area workers, according to official notices filed with the state's labor agency.

Tesla, AppLovin and a custodial service for the owner of the Facebook app disclosed plans for a combined total of 659 job cuts in different Bay Area cities, the WARN notices filed with the state Employment Development Department show.

The planned reductions in staffing levels will occur over the next few weeks and should be completed by the end of August, according to the filings.

The employers released some basic details for the job cuts in the WARN notices:

—ABM Industry Groups, which provides custodial services to an array of employers, has decided to chop 368 jobs at the Menlo Park headquarters of tech titan Meta Platforms. The layoffs occurred because Meta decided to hire a different provider of custodial services to replace ABM, the company stated in the WARN notice. ABM didn't know if Meta would rehire any of the ABM custodial service workers who lost jobs at the One Hacker Way headquarters site. July 24 is the effective date of the ABM job cuts.

—Tesla, a Texas-based maker of electric vehicles, said an expiring lease for an office building that the company was renting in San Mateo triggered its job cuts. The lease termination at 3055 Clearview Way in San Mateo meant that Tesla was obliged to "permanently close the entire facility" at that site. "There are 229 employees who are expected to be affected by the San Mateo facility closure," Tesla stated in its WARN notice. Tesla intends to make its layoffs effective as of Aug. 27.

—AppLovin, a Palo Alto-based supplier of mobile technologies, said it would cut 62 jobs at 1100 Page Mill Road in Palo Alto. The job titles of the employees affected appeared to all be tech-related work, the WARN notice stated. The AppLovin layoffs are scheduled to occur by Aug. 26.

"To maintain our proactive and prudent focus on managing our business, AppLovin is conducting a reduction in force," the tech company stated in its WARN notice.

AppLovin also noted that it believes the economy has entered a period with murky prospects.

"We are faced with uncertain economic times," Christina Seafort, chief people officer with AppLovin, stated in the WARN letter to the EDD and other government agencies.

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