Etown.com shuts down its operation

Etown.com laid off its entire staff and shut down operations on Wednesday, one month after the San Francisco-based company's workers were scheduled to vote on union representation.

Etown, which provided news and reviews about consumer electronics products, has run out of money, said Robert Heiblim, the company's chief executive. The company did not have the money to pay workers any kind of severance package; instead, the company transferred its remaining assets to Best Buy, one of its investors, Heiblim said.

Despite the shutdown, Heiblim called the setback "temporary," saying he was still looking for additional funding for the company.

Last fall, Etown laid off 22 percent of its staff to cut costs. Before Wednesday's shutdown, the company had about 100 employees. The company laid off its entire staff, including executives. -- Troy Wolverton, Special to ZDNet News