Shopify is laying off 1,000 employees

The Wall Street Journal reported that about 1,000 of the company's employees would be affected by the layoffs. The company has to go through a reduction in workforce that affects those working in recruiting, support, and sales according to a memo posted on the website.

The e-commerce company is cutting down on over-specialized and duplicate roles as well as groups that were too far removed from building products, according to Ltke. He blames the layoffs on a bet that the e- commerce industry would continue to grow.

In order to meet the expected growth, the workforce was increased from 1,900 in 2016 to 10,000 in 2021. Ltke notes that things are moving in the same direction as before.

Ltke wrote that he got this wrong when he placed the bet. We have to make adjustments. We have to say goodbye to some of you today and I apologize for that.

For every year an employee has been at the company, they will get 16 weeks of severance pay. Career coaching and a kickstart allowance to replace the company laptop that employees must return to are included in the package. When contacted for comment, the company pointed to the statement made by Ltke.

The aftermath of the post-pandemic economy has caused a number of companies to cut jobs. The company laid off hundreds of workers after it reported a dip in subscribers. The economic drop-off has led to layoffs at many firms in the cripto industry. They are either slowing down on hiring or planning to do so.