San Francisco, California-based Hazel Health, a provider of school-targeted telehealth services, including pediatric mental and physical health care to K-12 students, has announced a second round of layoffs.
The personnel adjustment will impact 135 employees, about half of whom are clinicians. This follows a previous 11% staff reduction in October 2025.
According to CEO Iyah Romm, "The current way of operating isn’t financially or operationally sustainable. We are burning too much money today to meet our sustainability goals, and it’s not close. No matter how hard we push our transformation efforts, we won’t get there fast enough.”
"Every bit of energy at Hazel is going to focus on three foundational capabilities: (1) increasing the number of kids we serve and making the referral process easier; (2) making it way more efficient to get care; and (3) ensuring that we get paid for the care we deliver, while actively working to take the pressure OFF of schools to fund mental health and to place it with the health insurers responsible for that care. We haven’t met our commitments to partners with the consistency I expect.” This will prompt further changes on client engagement and clinical fronts."
"You showed up every day to help kids and families get the care they need, and I am deeply grateful for that work. You did nothing wrong. And I’m sorry.”
Change is constant, and it's coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life, nor promises of a bright future. We see good people being laid off through no fault of their own. Just because something terrible hasn't happened yet doesn't mean it won't. It can happen to anyone, at any time, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. While many employees can read the writing on the wall, why do most assume it’s targeted at someone else? Are you now wondering, Am I Next?