Yahoo cuts 600 jobs
15 Dec 2010
Yahoo Inc presented 600 of its employees with a pre-Christmas shock by telling them that their services were no longer required as the company under its CEO Carol Bartz struggles to spur growth and take on rivals like Google and Facebook.
Yahoo, yesterday revealed that it would cut 600 jobs or 4 per cent of its workforce, the third time in three years, as one the largest web portals in the US strives to boost revenue.
It is the third round of layoffs since 2008 and the second since Bartz took over reins of the Sunnyvale, California-based company in January 2009.
The company said in a statement that the decision was part of an "ongoing strategy to best position Yahoo! for revenue growth and margin expansion and to support our strategy to deliver differentiated products to the marketplace."
Although the company did not reveal where the job losses would come from, but various media reports said that a majority of the cuts would come from the product division.
The company plans to offer the axed employees severance packages and outplacement services.