- Shopify will lay off 20% of its employees in its second wave of layoffs, even though its first-quarter 2023 revenue beat Wall Street estimates.
- Shares rose 8.5% on the New York Stock Exchange.
- In addition, other companies such as 3M, Disney, NBC Universal, Warner Bros. Discovery, Paramount Global, and Meta Platforms have also announced massive layoffs in recent months.
Shopify said this Thursday, May 4 that lay off 20 percent of its employeesin what is configured as the second wave of massive layoffs of the Canadian ecommerce specialist company.
The announcement came in parallel with its financial report for the first quarter of 2023, where it says its revenue beat Wall Street estimates. Reuters.
Both news, combined, sent Shopify shares up 8.5 percent in early trading on the New York Stock Exchange.
According to the report, Shopify posted total revenue of $1.51 billion in the January-March 2023 quarter, compared with analyst estimates of $1.43 billion.
Shopify isn’t alone in layoffs
Mass layoffs at Shopify aren’t the only ones on the global stage.
Last week, 3M announced that it will continue with a broad restructuring plan that will affect 6,000 more jobs around the world.
These massive layoffs will be added to the 2,500 already advanced in January of this year.
The manufacturer of products widely consumed around the world (Scotch, Post-it Notes and Command Strips), said that the decision will affect all the business units in which it participates.
3M’s decision was released almost in parallel with a similar one by Disney. In the giant of parks, cinema and streaming, the layoffs will include 15 percent of its entertainment division staff.
Disney is not alone in this massive layoffs in the large media and entertainment chains in the United States.
All large companies have applied some plan in this sense, among others, NBC Universal, de Comcast Corp, Warner Bros. Discovery y Paramount Global.
In March 2023, Meta Platforms (owner of Facebook, Instagram, Oculus, WhatsApp) confirmed that throughout this year it will eliminate 10,000 jobs.
The mass layoffs at Mark Zuckerberg’s company come just four months after the company laid off 11,000 employees in October 2022.
“We are restructuring to improve our efficiency,” Zuckerberg said at the time, when he announced the layoffs that occurred in November.
Now read:
Ford announces the layoff of 1,100 employees in this country
Google employees strike over mass layoffs
Indeed, the job search app, lays off 2 thousand workers
