2022 is just really not Peloton's year.
First there was the whole role in Mr. Big's death in the Sex and the City reboot which, at first, they tried to spin it into a positive by recruiting Chris Noth for a quickly thrown together commercial, only to have it spectacularly backfire once allegations of sexual assault from multiple women were leveled at the actor. Then there was the other fatal cameo on HBO's Billions later that same month which certainly didn't help with the company's already declining stock prices.
Now, Peloton has announced that they're cutting 2,800 jobs in their first round of layoffs. CEO John Foley apparently broke the news in 5 AM email to the company after having already stated that he would be resigning from his position following pressure from investors. Foley, however, recently purchased a multi-million dollar compound in the Hamptons and he's in line to take over Peloton Interactive, Inc. so its not like he will be joining the thousands of ex-Peloton employees in the unemployment line.
That being said, Foley did announce in his email that employees will be getting severance in the form of a free year of fitness classes. Because recently laid off workers would love nothing more than a daily reminder of the company they were let go from, rather than actual financial compensation.
“We are equipping every team member leaving Peloton with helpful tools to make them as comfortable as possible as they explore their career path post-Peloton,” Foley wrote. Apparently the severance package will also include extended healthcare coverage as well, which kind of feels like the bare minimum they can do, but it's hard not to see the complimentary fitness classes as a slap in the face.
In a press release, Peloton has assured their members that the recent changes won't effect their riding experiences either but has yet to comment on the recent layoffs.
Photo via Getty/ Ezra Shaw