2nd Round Of Job Cut: EBay To Slash 1,000 Jobs, Reduce Contractors

E-commerce giant EBay Inc is all set to slash nearly 1000 jobs or 9% of its full-time work-force and bring down work for its external contractors. The company claims that its staffing and expenses have outpaced growth as it takes the decision of job cut. The company asserted it needs to be "more nimble" amid the "challenging" economic atmosphere.

"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."

The latest round of job cut marks the second round of job reductions at e-commerce giant in just 1 year. The online marketplace earlier last year in February 2023 stated it would cut about 500 employees, or nearly 4% of its workforce, highlighting a slowdown in consumer spending.

EBay joins over 60 other leading tech firms, including Amazon.com Inc. and Google parent Alphabet Inc., that showed doors to nearly 11,000 employees this year, according to Layoffs.fyi, which tracks tech industry job cuts.

EBay, for several years, has been losing market share to rivals such as Walmart Inc., Amazon.com Inc, and has been slowly selling pieces of the company. 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 September 30, down 3% from an year ago.

Earlier, eBay agreed to pay a $3 million felony fine to a couple concerning a lawsuit on charges of harassment and surveillance in United States' Massachusetts, according to CBS News. As informed by officials, eBay will need to retain an independent corporate compliance monitor for three years under this agreement.