eBay announced the reduction of 1 thousand employees or 9% of its workforce. The firm intends to lay off an undisclosed number of contractors in the coming months.
eBay previously reported a profit of $1.3 billion for the last quarter. However, the company now points to the “need for change.”
eBay President and CEO Jamie Iannone wrote that the company could do more to ensure its success. He notes that eBay must be more flexible and make decisions faster to achieve long-term and sustainable growth.
Last quarter, the company's chief financial officer, Steve Priest, said he was proud of the team's ability to meet quarterly financial obligations, maintain cost discipline and achieve key results in support of the company's strategy.
In addition, eBay claims it hired too quickly. Other tech companies offer similar justifications for layoffs. Iannone noted that overall headcount and expenses are outpacing eBay's business growth.
Company executives sent a memo to employees and asked U.S. staff to work from home on Jan. 24 while eBay processed the news of the layoffs.
The company also refers to the difficult macroeconomic situation. As part of the restructuring, eBay intends to merge some teams.
eBay previously reported a profit of $1.3 billion for the last quarter. However, the company now points to the “need for change.”
eBay President and CEO Jamie Iannone wrote that the company could do more to ensure its success. He notes that eBay must be more flexible and make decisions faster to achieve long-term and sustainable growth.
Last quarter, the company's chief financial officer, Steve Priest, said he was proud of the team's ability to meet quarterly financial obligations, maintain cost discipline and achieve key results in support of the company's strategy.
In addition, eBay claims it hired too quickly. Other tech companies offer similar justifications for layoffs. Iannone noted that overall headcount and expenses are outpacing eBay's business growth.
Company executives sent a memo to employees and asked U.S. staff to work from home on Jan. 24 while eBay processed the news of the layoffs.
The company also refers to the difficult macroeconomic situation. As part of the restructuring, eBay intends to merge some teams.
