The cut will affect Yahoo’s media business, European operations, and platforms-technology group, which includes the technology that supports the company’s services.
Yahoo Inc. is working on a plan to cut at least 10% of its workforce to reduce company’s headcount by more than a thousand employees and could begin as early as this month. Major layoffs will be coming to Yahoo as part of its planned reorganization to get its business back on track.
The cut will affect Yahoo’s media business, European operations, and platforms-technology group, which includes the technology that supports the company’s services. The company plans to announce “additional plans for a more focused Yahoo on or before our Q4 earnings call,” which should be in the next few weeks.
There’s been considerable pressure on the company to find a new path forward after a three-year turnaround failed to revitalize the business. At least one investor called for CEO Marissa Mayer to slash the company’s size to only 3,000 people, while others are hoping that Mayer will be taken off the roster.
Last week, the company announced that it had shuttered Yahoo Screen, its larger all-encompassing video hub to build out the magazines. But those magazine divisions still have not seen their budgets for 2016, stalling their coverage. Without a budget, coverage of events like the Golden Globes this weekend is up in the air.