eBay Announces Job Cuts on Full-Time Positions, To Taper Existing Contracts

eBay Inc., an American e-commerce giant, is set to slash 1,000 jobs, or nine percent of its full-time employees. The company confirmed the layoffs on Tuesday, Jan. 23.

In February of last year, eBay disclosed its plans to terminate about 500 workers, not only in the United States but worldwide. Now, the company is reducing its global workforce once again, and these latest cuts follow a string of layoffs in the tech industry, including Google and Amazon, where most of the staff were hired during the pandemic, as per Reuters.

Job Termination Announcement

eBay informed the employees about its plans for job cuts through a memo. This will affect full-time positions as the technology sector continues to downsize and reorganize companies at the beginning of this year.

The e-commerce firm’s CEO told employees that this move is necessary for eBay’s success in the future. He explained that currently, the number of workers and expenses have already surpassed the company’s growth. CNBC further reported that the chief also advised the staff to work from home on Jan. 24 “to provide some space and privacy for these conversations.”

eBay to Scale Back Contracts

On top of the layoffs, eBay revealed it is also planning to reduce the number of contracts it already has within its alternate workforce. The company reiterated that this was a hard decision on their end and stressed that it is something that it does not take lightly because the management knows the effect it will have not only on the employees but on the consumers as well.

eBay also acknowledged the fact that some of the people to be let go were those who made important contributions to the company and eBay community, so the move is really not easy for everyone.

“Our strategy is the right one, but there is more we can do to ensure our success. We need to better organize our teams for speed - allowing us to be more nimble, bring like-work together, and help us make decisions more quickly,” eBay’s president and chief executive officer, Jamie Iannone, said in a statement.

He went on to say, “Today, I am sharing news about changes we are implementing to better position eBay for long-term, sustainable growth and the most significant and toughest of these decisions is to reduce our current workforce by approximately 1,000 roles or an estimated 9% of full-time employees.”

Photo by: eBay Press Room