Yahoo has officially announced its first round of layoffs in a bid to trim its workforce by 15% and reduce costs.
Yahoo CEO Marissa Mayer announced the plans after Yahoo reported weaker than expected earnings for the last quarter and the internet giant’s stock price nosedived. This latest announcement shows that Mayer meant what she said, as the first 107 of 1,500 staff have lost their jobs.
The layoffs take effect as of April 11, 2016, and were spread across a number of departments.
While Yahoo shares still remain depressed by over 18% after the weak earnings previously reported, they did trend upwards on Wednesday and finished up 1% for the session, closing at $27.10.
The trend of reducing its workforce has been ongoing since 2014 when Yahoo had a total workforce of 12,500 full-time employees. As of the previous announcement to lay of yet more people, Yahoo had a total workforce of roughly 11,000.
Could we see a new, lean and mean Yahoo emerge in the future to reclaim its place among the internet tech giants? We’ll have to wait and see. For now, it looks as if that is the game plan for Marissa Mayer and her team.
