Bloomberg report…
An e-discovery company that raised more than $80 million last year has laid off a chunk of its staff over concerns about the economic impacts of coronavirus.
The layoffs at Austin, Texas-based DISCO appear to be one of the first instances of a legal technology company shrinking its workforce as a direct result of the pandemic.
“(D)ue to the coronavirus and the economic uncertainty facing the nation and the world, DISCO felt it was important to make difficult decisions and implement changes up front to proactively address and reduce potential risk,” the company said in a statement.
The decision to reduce DISCO’s workforce was made “solely” to offset a possible virus-caused business downturn, according to the statement.
The company added that it remains confident about its near-term operations and its long-term growth strategy. “Business will continue as usual, and customers will see no disruption to service due to internal changes,” the statement said.
A spokeswoman declined to confirm how many people were laid off or how many employees still remain. A published report by Austin INNO cited 75 job cuts.
