EBay will lay off about 9% of its workforce as the online market appears to simplify operations and shift assets to its fastest-growing areas, CEO Jamie Iannone advised workers in a memo that was reviewed by Reuters.
A spokesperson for eBay confirmed the layoffs to Reuters on Wednesday, saying the transfer will get rid of around 1,000 jobs.
The company had 12,300 staff at the finish of last 12 months.
EBay will lay off about 9% of its workforce as the online market appears to simplify operations and shift assets to its fastest-growing areas, CEO Jamie Iannone advised workers. Bloomberg via Getty Images
It also let go about 6% of its workforce, or 800 staff, in February as half of efforts to streamline operations.
EBay has set itself aside from rivals by pushing into authenticated luxurious items, collectibles and refurbished merchandise, which draw fans keen to pay more for invaluable gadgets.
That has helped its shares rise practically 40% this 12 months, outperforming the benchmark S&P 500’s around 12% gain.
“Our strategy is working,” Iannone said in the memo, including that “continuing to capture the significant opportunity ahead requires us to make thoughtful choices about where we focus and invest.”
He said affected workers would be knowledgeable in the coming days.
Shares of eBay rose about 1% in morning trading.
The company has this 12 months also benefited from its $1.4 billion deal for fashion resale platform Depop, which expanded its attain among youthful customers and strengthened its place in the growing re-commerce market.
EBay also benefited from its $1.4 billion deal for fashion resale platform Depop, which expanded its attain among youthful customers and strengthened its place in the growing re-commerce market. JHVEPhoto – stock.adobe.com
That helped eBay forecast third-quarter income above Wall Street estimates when it last posted outcomes, in August.
The company is slated to report newest earnings next week.
Those efforts have also caught the eye of GameStop CEO Ryan Cohen, who made an unsolicited $56 billion bid for the much bigger eBay in May.
EBay had rejected the offer, saying that it was “neither credible nor attractive.”
