Indeed implements major cutback, eliminating 2,200 jobs
Indeed.com is going ahead with plans to cut approximately 2,200 jobs, representing almost 15% of its total workforce.
CEO Chris Hyams announced the cuts in a memo that said, “The cuts come from nearly every team, function, level, and region." “The specific decisions on who and where to cut were extremely difficult, but they were made with great care,” the memo added.
According to Hyams, the decision to make job cuts at the company, founded in 2004, was necessitated by Indeed’s projection that the job market will continue to cool down following “the recent post-Covid boom."
The company said that job listings, which are the company’s bread and butter, will continue to decline in fiscal years 2023 and 2024.
Giving an overview of the economic decline, Hyams said, “Last quarter, US total job openings were down 3.5% year-over-year, while sponsored job volume fell 33%. In the US, we are expecting job openings to likely decrease to pre-pandemic levels of about 7.5 million or even lower over the next two to three years."
Within an hour after the memo was released, employees outside of the UK, Ireland, the Netherlands, and Japan expected to receive an email informing them of their status. The company informed employees who will keep their jobs that they will receive an email with the subject line “Your Position Has Not Been Impacted.” For the ones laid off, the email subject line will be “Your Position Has Been Impacted.”
Today will be the last day for the laid-off workers. They will receive their regular paychecks until the end of March, along with a 16-week severance package, the company said.
The Indeed layoffs came right after Amazon CEO Andy Jassy announced that his firm will cut around 9,000 employees, primarily from Amazon Web Services, People Experience and Technology (PXT), advertising, and Twitch.
Meta also announced a cutback of 10,000 employees, on top of the 11,000 layoffs announced last fall.