Peloton cutting staff, padding prices

Peloton is slimming down again.

The exercise bike giant is cutting 800 jobs, according to a Bloomberg report, which said the decision follows CEO Barry McCarthy’s February takeover of the fitness company.

Cindy Cicchinelli uses her Peloton exercise machine in the workout room in her Pittsburgh townhouse on Aug. 8, 2021. (Keith Srakocic/)

Peloton’s Bike+ currently sells for $1,995. It’s cost will reportedly be raised to $2,495. The company’s treadmill, which costs $2,695, will see a price hike of $800, CNN reports. That cable news channel was told those measure are designed to make the company “more efficient, cost effective, and agile.”

CNN said the loosening of pandemic restrictions is bringing more people back to gyms. That trended has reportedly coincided with a decrease in the sales of home exercise equipment. Stock value that had reportedly shrunk 90% since 2020 saw a bump following Fridays news of cost-cutting.

Low on cash at the end of its first quarter of 2022, Peloton took on $750 million debt to stay afloat. The Chelsea-based company previously cut nearly 600 manufacturing jobs after outsourcing the building of its equipment to a manufacturer in Taiwan.