E-commerce company eBay is planning to cut 9% of its staff, affecting 1,000 full-time employees and reduce the work given to outside contractors. As per the company, the layoff announcement comes as the staffing and expenses have outpaced growth of the company.
“While we are making progress against our strategy, our overall headcount and expenses have outpaced the growth of our business,” the San Jose, California-based company said Tuesday in a statement. “To address this, we’re implementing organizational changes that align and consolidate certain teams to improve the end-to-end experience, and better meet the needs of our customers around the world.”
This is the second round of job reductions at eBay in one year. The firm in February 2023, announced job reductions of 4% of its employees affecting 500. The company had then cited a slowdown in consumer spending following the pandemic-fueled e-commerce boom.
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As per Layoffs.fyi, over 60 tech companies have let go almost 11,000 employees this year so far. eBay which has been losing market share to its competitors Amazon and Walmart has been selling parts of the company.
As per Bloomberg, Chief Executive Officer Jamie Iannone is trying to find niches for the site, such as luxury watches and collectibles, as well as highlighting refurbished items to appeal to cost-conscious shoppers. The company had 132 million active buyers as of Sept. 30, down 3% from a year earlier.