One more industry suffering great losses due to pandemic named

Both workplaces and workforces will not be the same after the crisis

coronavirus

One more industry suffering great losses due to pandemic named. Source: pixabay.com

According to GlobalData, the workspace sector is expected to be badly hit by COVID-19’s outbreak. Besides, some office-share providers such as WeWork have already been in financial trouble before the crisis.

Given WeWork’s increasingly precarious position, it is not going to be a leading contender for additional funding. WeWork recently disclosed that a further $1.1 billion of new funding it had expected from SoftBank had been put in doubt
Laura Petrone, Senior Analyst at GlobalData

The research assumes that the falling demand from tenants, and leasing models that are based on long-term costs. The short-term easily canceled customer contracts will drive the decrease as well.

At the same time, coronavirus is a significant catalyst for the future of work. Since countries around the world impose quarantines, along with school and business closures, society is reaching a tipping point in the way it works. Besides, employers and employees are realizing the benefits of remote work in terms of cost-saving, work-life balance and sustainability.

The research also states that 2020 will be a tough year for startups because many will struggle to get the funding needed for survival.

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