Polygon Labs Trims Workforce by 19%

2 Feb 2024 , 12:49 PM

Polygon Labs, a Layer 2 blockchain unicorn, announced on February 1 that it has downsized its workforce by laying off 60 employees, constituting approximately 19% of its total employee base, aiming to increase agility within the team.

Additionally, the company revealed plans to separate Polygon ID as a distinct entity in the forthcoming months.

This reduction in workforce comes exactly a year after Polygon laid off 100 employees, accounting for about 20% of its staff, in February 2023.

Following these changes, Polygon’s team now comprises roughly 220 employees, factoring in spin-offs and the recent reduction in headcount.

Affected employees will receive severance pay equivalent to two months’ salary and health benefits extended until the end of February, where applicable.

Polygon will assist impacted employees who opt-in by sharing their professional details within Polygon’s networks, connecting them with recruiters at web3 projects, talent partners at venture capital firms, and hiring managers in the industry.

Remaining employees will receive a retroactive 15% salary hike effective from January 1, 2024, with recently joined employees also receiving a 5% increase, as stated in a company blog post.

Marc Boiron, CEO of Polygon, emphasized that the decision was made to enhance performance and execute the company’s mission effectively.

Sandeep Nailwal, Polygon’s co-founder, expressed the pain of parting with colleagues but highlighted the necessity to return Polygon Labs to its ‘underdog’ roots, aiming for agility and a stronger focus on the mission.

Nailwal reiterated Polygon’s commitment to building a planetary-scale blockchain network and leveraging Polygon’s technology to create an aggregated blockchain network.

Notably, last year, two of Polygon’s three initial co-founders, Jaynti Kanani and Anurag Arjun, had also departed from the startup.

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