Robinhood said today it will reduce its workforce by 10%, cutting approximately 290 jobs from its 2,900 full-time employees as part of a corporate restructuring effort [1, 2, 3, 4]. CEO Vlad Tenev stated the company is moving toward a flatter organizational model and a "lean, hyper-focused team where every single individual is empowered to make a massive impact" [1]. He added, "Today we are flattening our org structure and reducing our overall team size by 10% of headcount" [3].
Tenev emphasized the layoffs are proactive and not primarily driven by artificial intelligence adoption, making no explicit mention of AI as a factor behind the cuts [1, 2]. Instead, he said, "The goal is to maximize our talent density and ensure that our culture is defined by an absolute elite performance bar and a superlative commitment to our customers" [3]. His memo expressed gratitude to departing employees and outlined severance and support through the transition [3].
The company expects restructuring charges of about $28 million in the second quarter [1, 2]. Despite the cuts, Tenev stressed the firm's strong financial position, saying, "Robinhood’s business has never been stronger" and "Our execution is strong today, but our ambitions require us to continuously raise our own bar" [2, 4].
Robinhood reported a 15% revenue increase in the first quarter, supported by rising prediction market fees, subscription revenue, and steady equity and options trading volumes [1]. Although it missed profit expectations in April due to crypto market volatility, trading volumes for June month-to-date have reached record levels across equities, options, and prediction markets [2, 4]. Crypto revenue in Q1 was $134 million, down 47% year-over-year, reflecting mixed market conditions [4].
The company is also closing a small number of open job listings [1, 2]. An implied performance basis for the layoffs contrasts departing workers with Robinhood's aim for an elite, high-performance workforce [4].
The restructuring and layoffs were announced on June 16, 2026, with the company preparing to complete second-quarter financial reporting later this summer [1, 2, 3, 4].
