Subscribe to our mailing list

* indicates required







We seek to provide information, insights and direction that may enable the Financial Community to effectively and efficiently operate in a regulatory risk-free environment by curating content from all over the web.


Stay Informed with the latest fanancialish news.




Terminations/Cost Cutting

Zenefits Shows Harsh Reality Behind Trump's Effort to Create More U.S. Jobs

February 10, 2017

Zenefits, the maker of human resources software, is laying off almost half of its U.S. workforce – 430 employees. At the same time, the company is building engineering teams in Vancouver and Bangalore.


That should not endear the start-up company to Donald Trump, even though outgoing CEO David Sacks is good friends with Trump adviser Peter Thiel - they co-founded PayPal and Thiel is a Zenefits board member.


A company spokesperson said that Zenefits is not eliminating U.S. jobs to hire elsewhere, but is restructuring the company so that "once we can hire again, we'll hire where we have operations in the U.S., Vancouver and Bangalore."


It turns out that Trump's demand that companies "buy American and hire American" is an expensive proposition, one that's too costly for emerging start-ups. Zenefits was among the many Bay Area software businesses that raised a ton of cash at sky-high valuations in recent years before being forced to downsize. The company is now about a third of the size it was a year ago.