A press release from Origin Materials reveals that layoffs are coming for 30% of the company’s workforce. This is part of its larger restructuring to focus on higher margin revenue opportunities while deferring research programs.
Origin Materials says that the layoffs were largely completed on Nov. 20. The company also notes that it expects to suffer $2.7 million in charges related to these actions.
John Bissell, cofounder and CEO of Origin Materials, said the following about the layoffs.
“The changes we are implementing support our plan to execute priority initiatives representing high-margin, near-term opportunities, while deferring some research programs with strong, but longer-term economic impacts. We believe these actions will substantially extend our cash resources while maintaining momentum with our partners, who are committed to bringing Origin’s technology to market.”
Origin Materials Joins Layoffs Trend
Origin Materials is far from the only company that has been announcing layoffs recently. Several others have been cutting jobs to deal with the ongoing tough economy.
On the bright side, inflation appears to be cooling and that’s likely to cause the Fed to reduce interest rates. While those rate drops are unlikely to happen anytime soon, it’s still something the market is looking forward to. It also means more interest rate hikes are unlikely.
ORGN stock is down 2% as of Tuesday morning.
Investors looking for more of the most recent stock market stories will want to keep reading!
We have coverage of all the biggest stock market happenings on Tuesday! A few examples include what’s going on with shares of Nvidia (NASDAQ:NVDA), Fisker (NYSE:FSR) and MorphoSys (NASDAQ:MOR) stock today. All of that news is available at the following links!
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On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.