Canadian cannabis company Canopy Growth (CGC) – Get Canopy Growth Corporation Report is going through another round of layoffs, announcing last week that it is letting go of 245 employees, or about 8% of its workforce.
The newest round of layoffs means that the company has reduced its headcount by 1,600 since 2020, CEO David Klein’s first year as CEO.
The company, which has yet to post a profit, has been struggling in the Canadian market as sales fall.
Canadian cannabis sales fell 2% in January sequentially and 3% sequentially in February.
As of the end of March, the Canadian Cannabis LP Index fell for the ninth consecutive month.
Canopy’s market share in Canada fell to just 7% in the January-March quarter from more than 11% a year ago, according to a recent note from Cantor Fitzgerald that cited data from analytics firm Hifyre.
The company has also liquidated multiple greenhouses in Canada and completely mothballed its outdoor cultivation operations.
The company recently said that the cost cutting moves would help them achieve a target of cost savings between $150 million and $200 million.
Super Majority of Americans Want Cannabis Legalized
Survey data from SSRS suggests that 69% of Americans support legalized recreational marijuana use. That number jumps to 84% of respondents who have tried the drug.
Those supermajorities get larger when speaking of just medical cannabis, with 92% of Americans saying that medical cannabis should be legal.
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Democrats (94%) are slightly more likely to support medical cannabis than Republicans (88%).
About 65% of Americans surveyed say they have tried cannabis in the past.
Broken down by generation, 52% of Gen Z have tried marijuana while 68% and 67% of Millennials and Gen Xers, respectively, have tried the drug.
Baby Boomers are the biggest stoners, with 72% of respondents saying they’ve tried marijuana.
Nearly 60% of Americans say that alcohol is more harmful to a person’s health than marijuana. That belief peaks with Millennials, 71% of whom see alcohol as being more dangerous.
For Gen Z, that number falls to 63%. Meanwhile more than half of Gen X and Baby Boomers, 55% and 52%, respectively, see alcohol as being more harmful.
Pennsylvania Moves to End Cannabis Banking Restrictions
Pennsylvania’s lower house filed a companion bill to a Senate passed measure that would end restrictions against safe banking for cannabis companies.
It will also provided tax perks for marijuana businesses.
Both versions of the bill would provide state-level protections to banks and insurers, meaning they won’t be punished federally for providing services for cannabis businesses in the state.
“Many cannabis-related businesses are locked out of the banking system without access to financial tools and are forced to operate exclusively in cash,” Rep. Christopher Rabb (D) said in his co-sponsorship memo, according to Marijuana Moment.
“This is a public safety risk as dispensaries are targets for robberies that put patients, employees, and communities at risk.”
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