Pinterest Lays Off 150 People as a Part of its ‘Long-Term Strategy’ – Pinterest recently cut jobs for the second time in a few weeks, following the first round of layoffs in December. According to Bloomberg, the company has laid off nearly 150 employees, which is less than 5% of its total workforce. Pinterest confirmed layoffs, but did not reveal the number of individuals impacted or which departments were affected. They also declined to disclose any details about the severance terms offered to departing employees.
“We’re making organizational changes to further set us up to deliver against our company priorities and our long-term strategy,” a company spokesperson said in a statement. “All of the employees who were impacted contributed to Pinterest and as they transition, we’re committed to supporting them with separation packages, benefits, and other services.” Several companies, including Amazon, Microsoft, Google, and Spotify, cut tens of thousands of jobs last month, extending the job losses into 2023.
Groupon also laid off 500 employees earlier this week, marking its second round of job cuts. Pinterest recently laid off some of its employees prior to its Q4 2022 earnings announcement on February 6. Despite a 16% increase in stock prices year-to-date, there has been a 2.3% decline in the last 12 months. In an effort to redirect resources towards other creator-focused initiatives, Pinterest discontinued its “Creator Rewards” program in November and released its Shuffles collage-making app to the public.
In recent months, we’ve seen a trend of businesses reducing their workforce, and unfortunately, the visual discovery platform, Pinterest, is now part of that list. This follows other tech companies such as PayPal Holdings Inc. and Amazon.com Inc. who have also announced layoffs as part of their cost-cutting efforts. This news of workforce reduction at Pinterest comes amid a broader trend of companies trimming their staff to streamline their operations and stay competitive in an ever-evolving business landscape.