Immediately after Lemonade closed its deal of Metromile on July 28, job boards lit up with news of layoffs at the acquired company.
Former Metromile employees have been posting the news on LinkedIn, with others offering potential opportunities. According to Blind, an anonymous social network for professionals, Lemonade laid off about 20 percent of Metromile’s staff — about 60 employees.
According to posts by verified Metromile employees, the design, engineering and product teams were particularly hit. Three executives — the chief financial officer as well as senior vice presidents of communications and product — were also give pink slips.
In a statement July 28, Lemonade said most Metromile employees would transition to roles at Lemonade. Former Metromile CEO Dan Preston was given a role as senior vice president of strategic initiatives.
Lemonade Closes Deal for Auto Insurer Metromile
“We’re thrilled that we’ve finalized our acquisition of Metromile and that we’ve been able to offer a role at Lemonade to about 80 percent of the Metromile team,” said a Lemonade spokesperson via email. “The good-news-bad-news is that this acquisition is synergistic, in that the combined entity is better than the sum of its parts and can operate with fewer people than were needed to staff the two standalones. This makes the deal compelling to shareholders but clearly is painful to those who weren’t extended an offer to join Lemonade.”