eBay to Cut 9% of Workforce in Push to Simplify Operations, Internal Memo Shows

eBay to Cut 9% of Workforce in Push to Simplify Operations, Internal Memo Shows

eBay to Cut 9% of Workforce in Push to Simplify Operations, Internal Memo Shows

Layoffs Confirmed After Internal Memo Surfaces

eBay will lay off about 9% of its workforce as the online marketplace looks to simplify operations and shift resources to its fastest-growing areas, CEO Jamie Iannone told staff in a memo that was reviewed by Reuters. An eBay spokesperson confirmed the layoffs to Reuters on Wednesday. This is the second round of job cuts this year, following about 800 layoffs in February.

CEO's Memo: Strategy Is Working

"Our strategy is working," Iannone wrote in the memo, according to Reuters. He added that "continuing to capture the significant opportunity ahead requires us to make thoughtful choices about where we focus and invest." The company said it will continue to hire in priority areas aligned with its strategy while redirecting resources toward faster-growing segments.

About 1,100 Jobs Based on Year-End Headcount

Based on eBay's 12,300 employees at the end of last year, the 9% reduction translates to roughly 1,100 positions. An eBay spokesperson told some outlets the cuts would eliminate around 1,000 jobs. Affected employees will be notified over the next several days.

Second Round This Year After February Cuts

eBay already cut about 6% of its workforce, or 800 employees, in February as part of efforts to streamline operations. Combined with the latest round, eBay has reduced headcount significantly in 2026. The company maintains it will keep hiring in strategic priority areas.

Luxury and Re-commerce Fund the Strategy

eBay has set itself apart from rivals by pushing into authenticated luxury goods, collectibles and refurbished products, which draw enthusiasts willing to pay more for valuable items. Its $1.4 billion deal for fashion resale platform Depop this year expanded its reach among younger consumers and strengthened its position in the growing re-commerce market. In May, GameStop CEO Ryan Cohen made an unsolicited $56 billion bid for the much larger eBay; eBay rejected it, calling the offer "neither credible nor attractive." Affected employees will be informed over the coming days, and the company said it will continue to hire in priority areas aligned with its strategy.

Shares Up Nearly 40% This Year

eBay shares are up nearly 40% this year, outperforming the benchmark S&P 500's around 12% gain. The company forecast third-quarter revenue above Wall Street estimates when it last reported results in August, and it is slated to report latest earnings next week. Analysts are watching how the restructuring affects operational efficiency and long-term profitability.