Counsyl, the company that offers a slew of genetic tests, made significant cuts in its product, design, sales, marketing and engineering teams, according to two sources familiar with the matter.
In a statement to Fast Company, Counsyl confirmed that it had laid off 27 people.
It’s possible that the Bay Area-based company is gearing up for an IPO, after raising more than $100 million in financing. But some employees have written on job-review sites like Glassdoor that the company is growing too quickly for its own good. One post in March warned future employees to be “flexible” in this “time of great change.”
Counsyl’s CEO Ramji Srinivasan says the layoffs were part of a restructuring, which would help them advance “our relationships with clinicians and medical providers, who we believe are essential to the genetic testing process.” Srinivasan says Counsyl is hiring for “targeted roles throughout the company to support development of our clinical relationships, particularly in commercial sales and clinical marketing roles.”
Counsyl recently brought in some new faces to its senior leadership team, according to one of the sources, including a new hire known for such reorganizations.
The company, which is backed by Goldman Sachs, made a name for itself with its test for would-be parents to discover if they’re a carrier for certain genetic diseases. Now it offers additional tests, including a screen for inherited cancers, and a test for pregnant women to determine if their baby will be born with a chromosomal disorder such as Down syndrome.