eBay has change into the most recent tech large to announce mass layoffs within the first month of 2024.
The web market has this week confirmed it plans to cut back its workforce by roughly 1,000 – equating to roughly 9% of its full-time workforce – in an try to “higher place eBay for long-term, sustainable progress.” On high of that, it confirms contracts inside its alternate workforce are additionally set to be “scaled again.”
In a notice despatched to employees, the California-based firm’s President and CEO, Jamie Iannone outlined his long-term technique and confirmed that adjustments remodeled the previous three years have resulted in “will increase in buyer satisfaction and a significant enchancment in our progress.”
Nevertheless, Iannone goes on to quote the necessity to have a extra optimized workforce that can enable for choices to be made faster, permitting them to be extra “nimble”.
Iannone additionally acknowledges exterior pressures the enterprise faces, such because the difficult macroeconomic surroundings, earlier than he admits that whereas eBay believes its present technique is right, its “total headcount and bills have outpaced the expansion of the enterprise.”
“To deal with this, we’re implementing organizational adjustments that align and consolidate sure groups to enhance the end-to-end expertise, and higher meet the wants of our prospects world wide,” Iannone stated.
Based in 1995, eBay is now price over $21 billion. The web public sale web site had forecast fourth-quarter income and revenue in 2023 would are available in beneath Wall Road estimates.
Intensifying competitors from the likes of Amazon and client spending cutbacks in developed economies resulting from inflation pressures have squeezed eBay’s backside line.
A tricky begin to 2024 for tech giants
The tech business continues to make widespread cuts to its workforce following a 2023 that Meta CEO, Mark Zuckerberg described as “the Yr of Effectivity.”
Within the first few weeks of 2024 alone, the tech sector has skilled greater than 13,000 job cuts from 72 totally different tech corporations, in line with layoffs.fyi. That follows over 260,000 from greater than 1,100 companies within the sector in 2023 and 165,000 layoffs in 2022.
Earlier this week, TikTok introduced 60 of its US-based workforce was being minimize, whereas Google and Discord have additionally introduced widespread layoffs within the first month of the yr.
Featured Picture: eBay
