Redbox Layoffs

Industry Media · Location Chicago · United States · Subscribe (RSS)

1
Layoff round
1,000
Employees laid off
Acquired
Funding stage
$51M
Total raised

Redbox has 1 publicly reported layoff round on record (most recent July 10, 2024). A total of about 1,000 employees were affected across these rounds.

Layoff history

July 10, 2024
Redbox cut 1,000 employees (100% of staff)
1,000 laid off 100% of workforce Location Chicago

Redbox ceased operations in July 2024 after its parent, Chicken Soup for the Soul Entertainment, converted a Chapter 11 bankruptcy filing to Chapter 7 liquidation, putting roughly 1,000 employees out of work. The company had filed for Chapter 11 on June 29, 2024, carrying nearly $1 billion in debt. Judge Thomas M. Horan approved the Chapter 7 conversion after the company had failed to pay employees or cover health insurance premiums since mid-May. A debtor-in-possession loan of $8 million from HPS Investment Partners temporarily restored payroll and benefits, but HPS declined to extend further funding. All 24,000 Redbox kiosks were shut down along with the streaming service and mobile app. Former board members Rob Warshauer and John Young stated they "cannot, in good conscience, continue down this path with no source of funding." No severance was guaranteed; a Chapter 7 trustee was appointed to determine what back pay, if any, workers could recover.

Reason: Chapter 7 bankruptcy liquidation

Source: wsj.com

Data for Redbox is compiled from public WARN Act filings and reporting linked above. See our methodology.