EBay to slash about 1,000 roles, or 9% of full-time staff

EBay mentioned Tuesday that it plans to put off 9% of the corporate’s workforce, equal to about 1,000 full-time jobs, because the tech business continues to downsize to begin 2024. The inventory rose greater than 3% in prolonged buying and selling.

Jamie Iannone, eBay’s CEO, advised staff in a letter printed on a company blog, that the corporate will even “scale back the number of contracts we have within our alternate workforce over the coming months.”

Iannone mentioned the job cuts are essential as a result of eBay’s “overall headcount and expenses have outpaced the growth of our business.”

“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,” Iannone mentioned. “Shortly, we will begin notifying those employees whose roles have been eliminated and entering into a consultation process in areas where required.”

Following hefty job cuts final 12 months, tech corporations have continued to remove positions in January as issues about shopper and enterprise spending persist. Amazon, Alphabet and Unity have confirmed cuts this month, and SAP said on Tuesday that it goals to hold out voluntary buyouts or allow job modifications for 8,000 staff as a part of a restructuring program for 2024.

Relating to eBay’s cuts, Iannone mentioned he needs staff to make money working from home on Jan. 24, “to provide some space and privacy for these conversations.”

“These changes are difficult, but I’m confident that by working together we will become stronger than ever,” Iannone mentioned. “In the months ahead, you will see a more focused, agile, and responsive eBay — one that is better positioned to advance our purpose of creating economic opportunity for all.”

EBay shares dropped about 4% in November after the corporate supplied fourth-quarter revenue guidance that trailed Wall Road estimates. Throughout a name with analysts, Iannone mentioned that eBay had “observed softening consumer trends to date in Q4, and particular challenges in Europe, suggesting we may see a more muted seasonal uptick over the holidays.”

He added that “Inflationary pressures and rising interest rates continue to weigh on consumer confidence and pressured demand for discretionary goods.”

Earlier in January, eBay mentioned it will pay a $3 million legal penalty as a part of a settlement associated to a cyberstalking and harassment marketing campaign performed by a gaggle by former staff.

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