In a shocking turn of events, Cue Health, a prominent company known for producing at-home health tests, has announced its decision to lay off all employees and close its doors as of May 24. The company gained recognition during the Covid-19 pandemic for developing one of the few molecular at-home tests for the virus. However, Cue Health has been facing financial difficulties for several months and is now shutting down.
The closure was first reported by the San Diego Union-Tribune, which occurred shortly after the FDA issued a warning advising consumers not to use Cue’s only FDA-authorized product, a Covid-19 test kit. Initially, Cue had informed 49% of its employees on May 1 that they would be laid off starting July 1. However, in a notice filed with California state regulators on May 20, the company’s chief human resources officer Allison Blackwell stated that all U.S. employees who had not already been notified of termination would now be receiving one. Last paychecks for all employees will be issued on May 24.
This sudden closure has left many employees without jobs and unsure about their future. It is unclear what led to Cue Health’s financial difficulties or whether this closure is temporary or permanent. As this story unfolds, we will provide updates and insights into how this event may impact the health care industry and technology landscape.
