The affected workers were laid off on Thursday, a company spokesperson told SFGATE. The laid-off employees were notified in one-on-one meetings, according to a company-wide message. “While some of you will be affected, all of you will be,” Calm CEO David Ko said in the message Thursday. “I can assure you that this was not an easy decision, but it is especially difficult for a company like ours, whose mission is focused on mental health and wellness in the workplace.” Calm, like direct competitor Headspace and digital therapy services like BetterHelp and Talkspace, have capitalized on the recent surge in demand for mental health and wellness care — a demand that has only intensified since the COVID-19 pandemic. But Calm’s big advantage over its competitors has been its reliance on mega-celebrities, from boy-bander-turned-pop dreamer Harry Styles to actor Matthew McConaughey, to read “bedtime stories” on the platform. By 2020, it was worth $2 billion — making it one of the biggest unicorns in the mental health tech space. But it, too, has been forced to retreat as a more limited tech industry has seen demand fall after profits — and hiring — surged during the pandemic. “We did not come to this decision lightly, but we are confident that these changes will help us prioritize the future, focus on growth and become a more efficient organization,” Ko said. A spokesman did not provide additional details on the severance packages of the laid-off workers.
