Virgin Orbit will fire 85 percent of its employees

Virgin Orbit is laying off the majority of its workers, around 85 percent, citing the company's failure to secure future funding.

Billionaire Richard Branson's rocket company will see approximately 675 employees lose their jobs, according to a public filing submitted Thursday with the U.S. Securities and Exchange Commission. According to the document, Virgin Orbit is making these colossal layoffs "in order to reduce expenses in light of the Company's inability to secure meaningful funding."

According to CNBC, who first reported news, Virgin Orbit will also cease operations "for the foreseeable future," as told by CEO Dan Hart to employees during a meeting Thursday. The company had paused operations and furloughed staff for a week earlier in March while seeking future funding.

The move comes just two months after Virgin Orbit was set to mark a new era of spaceflight for the UK, but the mission failed. The first LauncherOne mission launched from Spaceport Cornwall in England in January, encountered an "anomaly" and was unable to reach orbit. It wasn't a great moment for Virgin, as Virgin Orbit shares plummeted as much 30 percent in after-hours trading.

Founded by Branson in 2017 as a spinoff of Virgin Galactic, Virgin Orbit truly jumped into the commercial space ring in 2021 after a 2020 test, using modified 747 carrier aircrafts to launch LauncherOne rockets from the air, carrying satellites into orbit. The company has completed five successful LauncherOne missions carrying government and private company payloads — the UK launch was the first to fail to deliver its payload.

According to CNBC, Hart reportedly told employees of the layoffs during an all-hands on Thursday, citing the company's inability to secure funding. The news outlet also reported Hart said Virgin Orbit will "provide a severance package" for fired employees, and point people to hiring opportunities at Virgin Galactic.

Virgin Orbit layoffs could also mark a concerning moment for the British government's UK Space Agency. More spaceports are supposed to be constructed in Scotland and Wales as part of the National Space Strategy. Government figures released Wednesday claim the UK space sector income grew by almost £1 billion in 2021, with employment up almost 1,800 more jobs across the UK space sector. With 675 Virgin Orbit employees set to lose their jobs, that's a significant dip in growth.