Mubasher: Beleaguered office space startup WeWork said that it would cut 2,400 employees worldwide, as its losses were continuing to mount.

Impacted employees “will receive severance, continued benefits, and other forms of assistance to aid in their career transition,” a company’s spokesperson said in a statement.

The job cuts had begun “weeks ago” worldwide, the statement said, adding that they were necessary “to create more efficient organisation.”

“These are incredibly talented professionals and we are grateful for the important roles they have played in building WeWork over the last decade,” it said.

The layoffs came after WeWork failed to launch an initial public offering (IPO), as investors questioned the previously one of the most celebrated startups in the US.

Earlier in the month, the company, which was bailed out by Japan’s SoftBank, said that it posted $1.3 billion in net losses during the third quarter of this year, more than twice those seen in the year-ago quarter.