Ukrainian Codefinity has reduced more than half of its team: about 35 employees were laid off

Ukrainian EdTech company Codefinity, which is part of the Genesis ecosystem, has made a large-scale reduction in its team. About 35 employees have lost their jobs — more than half of the company’s staff. Possible reasons include financial difficulties and problems with advertising accounts on Meta platforms.

The reduction was reported by “Ekonomichna Pravda” with reference to its own sources.

Codefinity has reduced more than half of its staff

According to the publication, the reduction affected about 35 Codefinity employees. Both technical specialists and non-technical employees were laid off.

Given the size of the team, this means a reduction in more than half of the company’s staff.

Codefinity is a Ukrainian online educational platform launched in 2020. It specializes in teaching programming and data analysis. The platform offers courses that are used, in particular, by students from foreign universities and employees of technology companies.

What could have caused the cuts

The publication’s sources attribute the personnel decisions, in particular, to the deterioration of the financial situation after problems with advertising accounts on Meta platforms.

Advertising was one of the channels through which Genesis ecosystem businesses attracted new users to their digital products. Accordingly, restrictions or problems with advertising tools could affect the ability to scale and attract new audiences.

Official details regarding Codefinity’s financial indicators and the full list of reasons for the cuts are not yet reported.

FTC lawsuit against Genesis

The situation is unfolding against the backdrop of legal claims against Genesis-related structures in the United States.

In June, the US Federal Trade Commission (FTC) filed a lawsuit against Genesis Tech and related parties. It was about allegations of insufficient disclosure of the terms of automatic subscription renewal and unauthorized debits.

At the same time, Codefinity is not included in this lawsuit.

Wave of layoffs in Ukrainian product companies

Codefinity is not the only Ukrainian product company that has recently optimized its team.

In July-August, Universe Group reported the reduction of 67 employees. EdTech company Promova reduced its staff by 63 employees, OBRIO by about 43, and PlantIn by 21 specialists.

According to media reports, the Wisey team has decreased from 18 to three people.

In addition, Liven from SKELAR has reduced about 50 employees. SKELAR was previously part of the Genesis ecosystem, but now operates as an independent business.

Thus, the personnel changes at Codefinity occur against the backdrop of a broader wave of team optimization in the Ukrainian product and EdTech segments.