Peloton Will Lay Off 54 Workers in Gresham

Such a move was unthinkable at the height of the pandemic, when the exercise bike company saw a sales boom.

This is not a Peloton bicycle, but it is in Gresham. (Brian Burk)
By Anthony Effinger

Slumping sales of Peloton Interactive’s exercise bikes and treadmills brought some pain to Oregon workers this month as the once-hot fitness company closed its facility on Northeast 181st Avenue in Gresham and laid off all 54 workers there.

Shari Eaton, Peloton’s global head of people, wrote to Oregon state officials Feb. 8 to announce the closure, saying that layoffs would begin that day.

“This reduction in force is expected to be permanent,” Eaton wrote.

Such a move was unthinkable at the height of the pandemic, when Oregonians fled gyms and clamored to purchase Peloton equipment. The company hired thousands of workers to meet that demand. Then, COVID restrictions eased and Peloton sales slowed.

Earlier this week, the company said it would slash 2,800 jobs, or about 20% of its workforce, and replace CEO John Foley.

Peloton’s instructors appear to be safe from the carnage.

“Peloton’s roster of instructors and breadth and depth of its content will not be impacted by the initiatives announced,” Peloton said in a statement.

Many Peloton teachers enjoy celebrity status. Instructor Cody Rigsby appeared on Dancing With the Stars. Robin Arzon has almost 1 million followers on Instagram. Senior instructors at the company make more than $500,000 a year, according to Bloomberg News, which cited people familiar with the company.

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