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Online retailer Ebay: job cuts due to higher expenses
Photo: BRENDAN MCDERMID / REUTERS
The US trading platform Ebay is cutting around 1,000 jobs to reduce its costs.
The cuts will affect an estimated nine percent of full-time employees, eBay boss Jamie Iannone wrote in an email to employees.
The reason given was that expenses grew faster than business.
"While we are making progress in implementing our strategy, our headcount and expenses have outpaced the growth of our business," explained the managing director.
For this reason, they want to merge and consolidate certain teams to, among other things, better meet the needs of customers around the world.
A lot of competitors
Last February, the online retailer announced that it would lay off 500 employees worldwide, which corresponded to four percent of the total workforce.
The job cuts follow a wave of layoffs in the U.S. tech industry following massive hiring during the pandemic.
Ebay is in a fierce global competition with Amazon and Chinese online retailers such as Temu and Shein, among others.
The forecast for the important Christmas quarter was recently weaker than the market expected.
The company said that inflation, which had risen significantly last year, had reduced customers' purchasing power.
Ebay currently has around 132 million users and almost two billion items for sale on its platform.
lph/dpa/Reuters