eBay will lay off 1000 people, which is 9% of the company’s employees

Following Google, Microsoft, Discord, Twitch, Unity, and many other IT companies, eBay has also planned a massive staff reduction. The company is going to lay off 1,000 employees, which is 9% of its staff. And this is just the beginning, eBay will also lay off an undetermined number of contractors “over the coming months”, writes The Verge.

Despite last quarter’s $1.3 billion profit report, which eBay President and CEO Jamie Yannon called “another quarter of good results,” today he suggests that there is a “need for change,” writing that “we can do more to ensure our success” and asserting that eBay needs to be a “more nimble” company that “makes decisions faster” to position itself for “long-term, sustainable growth.”

This is despite the fact that last quarter eBay CFO Steve Priest said he was “extremely proud of our teams for meeting quarterly financial commitments, maintaining prudent cost discipline, and delivering key results in support of our strategy.”

eBay also claims that it has been hiring too quickly: “While we are making progress against our strategy, our overall headcount and expenses have outpaced the growth of our business,” Mr. Iannone writes today.

All US eBay employees will work from home tomorrow while the company processes the news.

By the way, Iannone’s predecessor, former eBay CEO Devin Wenig, received a $57 million severance package after the company was accused of harassing a couple of critics to whom eBay sent live insects, a bloody pig mask, and a funeral wreath. Ultimately, eBay agreed to pay a $3 million criminal fine on this charge.