Indeed, a job search platform based in the United States, announced the elimination of approximately 2,200 jobs, or 15% of its workforce.
The company, according to CEO Chris Hyams, was too large, and future job openings were at or below pre-pandemic levels. “The cuts come from nearly every team, function, level and region,” at the company, CEO Chris Hyams said in a memo released by the company. “The specific decisions on who and where to cut were extremely difficult, but they were made with great care,” the memo added.
Indeed will provide affected employees with a severance package that includes January through March bonuses, regular monthly pay, accrued paid time off, and access to mental health services. Furthermore, Hyams stated that Indeed’s revenue from human resource technology would decline in fiscal years 2023 and 2024, with job openings in the United States expected to fall to pre-pandemic levels of 7.5 million or lower in the next two to three years.
The announcement comes as businesses across many industries face a labor shortage, particularly in transportation, manufacturing, and hospitality. It remains to be seen how the layoffs will affect the overall recruitment industry and whether other job search platforms will follow Indeed’s lead.
The sources for this piece include an article in Reuters.