2023 is going to be a year of enduring pain for marijuana companies, according to MJBizDaily.
With wholesale prices plummeting across the country and demand receding, layoffs are happening across the board, with even some high profile executives leaving the scene.
“I don’t think layoffs have peaked. I think this will continue into 2024 for sure,” Sara Gullickson of The Cannabis Business Advisors told MJBizDaily.
What has made this crash such a high magnitude was the false upswing that came with the pandemic. Things were looking as rosy as ever for the marijuana industry. Early last year, those hopes starting looking like a bubble, and we’re still dealing with the fallout.
MJBizDaily listed some of the bigger cases of course correction in the last several months. These include Curaleaf (cutting 270 employees in the fall), Trulieve (36 laid off employees in Pennsylvania), WM Technology (25% of workforce laid off), and many others.
Unfortunately with large scale layoffs like these, the hardest hit are always those on the bottom rungs. So while we first may have seen some executives reduce their pay by 25%, the last to be effected will be the low end workers, and that’s where we’ll probably be seeing the more sustained damage this year. All we can hope for is an industry that has proven strong enough to make it through with enough strength to continue fighting for federal legalization after all this is said and done.
Read the original article at MJBizDaily.