Convoy cuts more jobs as part of a restructuring

Convoy, nan Seattle-based integer freight web that connects truckers pinch shippers, is shuttering its Atlanta agency and laying disconnected workers arsenic portion of a restructuring.

This is nan 3rd clip successful little than a twelvemonth that Convoy has laid disconnected workers.

The restructuring comes arsenic Convoy transitions to a caller customer work exemplary that automates galore of nan tasks nan conducted by employees, according to a LinkedIn post published Thursday by CEO and co-founder Dan Lewis.

“This displacement represents a large measurement guardant successful really we operate, but it comes astatine a cost. Increased automation and tighter attraction person changed our staffing needs,” Lewis wrote.

Convoy will unopen down its Atlanta office. It will support a mini squad successful nan city, according to nan post. Jobs successful different regions will besides beryllium cut, including those tied to its changing customer work exemplary and different aspects of nan business.

A spokesperson confirmed nan move and said “We person restructured to further streamline and amended our shipper experience.” The institution declined to disclose really galore workers are losing their jobs.

Convoy launched successful 2015 to modernize freight brokerage, a fragmented and oftentimes analog business that matches loads from shippers pinch truckers. The institution developed package that helps automate nan process of connecting truckers and shippers. It has since added much fintech products to its integer platform, including a substance card, speedy payments and a drop-and-hook work that allows shippers to pre-load Convoy trailers and group them speech truthful truckers tin prime them up during much elastic windows.

Convoy trim 7% of its workforce successful June conscionable 3 months aft raising $260 cardinal equity and debt. The Series E equity was led by Baillie Gifford and T. Rowe Price and nan $100 cardinal venture-debt finance came from Hercules Capital. Convoy’s valuation was $3.8 cardinal astatine nan time.

More layoffs followed successful October.