Hagerty Lays Off 6 Percent Of Global Workforce
Dec. 1, 2022
The Ticker has learned that Hagerty, Traverse City’s largest private employer, is notifying employees today of layoffs affecting approximately 6 percent of their total workforce, including 30-40 individuals employed at the company’s headquarters here in Traverse City. As of a recent corporate filing, Hagerty employed approximately 1,800 employees worldwide.
Company sources tell The Ticker that the affected staff will receive severance pay, outplacement services and healthcare coverage upon departure. Their last days at the company will be this week.
Hagerty has been on a major growth trajectory, both in its core insurance business and in new areas of focus including automotive events and media. The company went public in August 2021 and is traded on the New York Stock Exchange under the symbol HGTY. The stock closed yesterday at $9.12 per share and has been as high as $19.97.
A Hagerty statement provided to The Ticker noted: "Hagerty today announced that we are eliminating 6% of our workforce. Although a small percentage of our team members were impacted by this extremely tough decision, we are committed to being as supportive as possible by offering transition assistance, including outplacement services and severance benefits to displaced employees based on various factors including years of service. This move is intended to position us for continued long-term growth and profitability as a leading automotive lifestyle brand. The financial health of the company remains sound, as indicated by our double-digit year-over-year revenue growth in Q3."