About 1,000 jobs, or 9% of the full-time staff, will be eliminated by eBay.

About 1,000 jobs, or 9% of the full-time staff, will be eliminated by eBay.

The company will “scale back the number of contracts we have within our alternate workforce over the coming months,” CEO Jamie Iannone informed staff.

In light of the ongoing downsizing in the tech sector, eBay announced on Tuesday that it intends to fire 1,000 full-time employees, or 9% of its workforce, beginning in 2024. Over 3% of the stock increased during extended trading.

In a statement to staff members that was posted on a business site, eBay CEO Jamie Iannone stated that the company will “scale back the number of contracts we have within our alternate workforce over the coming months.”

Iannone stated that eBay’s “overall headcount and expenses have outpaced the growth of our business,” which is why the job layoffs are required.

In order to better fulfill the needs of our global client base and enhance the end-to-end experience, Iannone stated, “We’re implementing organizational changes that align and consolidate certain teams.” “We will initiate a consultation process where necessary and shortly start informing those employees whose roles have been eliminated.”

Tech companies continued to cut jobs in January after making significant layoffs the previous year due to ongoing concerns about consumer and business spending.As part of a reorganization plan for 2024, SAP stated on Tuesday that company intends to conduct voluntary buyouts or permit job changes for 8,000 employees. Amazon, Alphabet, and Unity have already disclosed layoffs this month.

Iannone stated that he wants workers to work from home on January 24 in response to eBay’s layoffs in order “to provide some space and privacy for these conversations.”

Iannone remarked, “These changes are challenging, but I’m sure that by cooperating we will become stronger than ever.” “You’ll see a more focused, responsive, and agile eBay in the coming months—one that is better positioned to further our goal of generating economic opportunity for everyone.”

Following the release of fourth-quarter revenue projections by the firm that fell short of Wall Street estimates in November, shares of eBay saw a roughly 4% decline. eBay has “observed softening consumer trends to date in Q4, and particular challenges in Europe, suggesting we may see a more muted seasonal uptick over the holidays,” Iannone said on a conference call with analysts.

“Rising interest rates and inflationary pressures continue to weigh on consumer confidence and pressured demand for discretionary goods,” he continued.