Layoffs

What tech layoffs tell us about management

Several sites are tallying up lists of start-ups that are undergoing significant layoffs. (Interestingly, not much noise on that front is coming out of Europe.)

Every day, we're hearing about yet another start-up (or established technology vendor) laying off workers. This may mean that the companies are battening down the hatches in preparation for a nuclear economic winter, but it also likely means that these same companies haven't been prudently managing their VC investments.

It took Sequoia Capital to describe the obvious: we're in a tight, recessionary economy. But any CEO worth her salt should have seen … Read more

Layoffs at Veoh, or not?

There seems to be some disagreement over the financial health of Veoh.

The online video-sharing site allegedly laid off 40 percent of its 110-person workforce, according to tech gossip blog Valleywag, which on Monday credited "an online-video industry insider" with the tip.

However, a representative for the company told CNET News that the report was false.

"I have no idea where their sourcing is coming from," spokesperson Gaude Paez said Monday, adding that she was disappointed Valleywag didn't contact the company for comment. "Everyone who was employed here Friday was employed here today, and … Read more

Don't expect Yahoo gory layoff details yet

Yahoo will shed some light Tuesday on a coming layoff and cost-containment plan as the company details third-quarter financial results, but likely only the broad elements of the plan, according to a source familiar with Yahoo's plans.

The company isn't likely to disclose much detailed information, for example, about whether it plans to cut specific programs or to cut across the board. So investors eager to know just how much faith to put in Yahoo's grim stock price in light of the measures might have to keep on waiting. Yahoo, which has pinned the layoffs on the … Read more

Layoffs at Jimmy Wales' Wikia?

It's not surprising, considering that everybody else is doing it.

Valleywag reports that Wikia, the for-profit wiki software and search start-up created by Wikipedia founder Jimmy Wales, has laid off about a third of its 43-person workforce--or 12 to 13 employees.

A Wikia representative was not immediately available to confirm.

The company, formerly known as Wikicities, has big-name investor backing, but it doesn't appear to have pulled in any funding for nearly two years. It raised a Series B round of an undisclosed size from Amazon.com in December 2006; previously, the company had taken a $4 million … Read more

Tough times at Tesla

Despite a backlog of unfilled orders and lots of good press for its electric cars, upstart Tesla Motors is finding that reaching full production is complex and costly. Late last week, the Silicon Valley company announced cutbacks to conserve cash.

Tesla is closing its recently opened engineering center in suburban Detroit and laying off an undisclosed number of its 200 U.S. workers. The company is delaying development of a new electric sedan as it consolidates operations at its San Carlos, Calif., headquarters.

Production of the Tesla Roadster, which is based on a Lotus sports car, started in March. Fewer … Read more

Report: Yahoo plans cost-cutting moves, layoffs

Yahoo is expected to announce cost-cutting moves this week, including another round of layoffs, according to a report Sunday in The Wall Street Journal.

The exact number of layoffs is unknown, but job cuts are expected to come from all departments in the 14,300-employee company, according to the report. Yahoo, which is set to announce its third-quarter earnings Tuesday, has reportedly asked managers to identify areas where the company can achieve operating budget reductions of 15 percent. In January, Yahoo laid off an estimated 1,100 employees in a bid to cut costs and trim operations that weren't … Read more

Zillow lays off 25 percent of staff

Zillow, the online resource to find out how much your home is worth, announced that it has laid off 25 percent of its workforce to prepare for what it expects will be an extremely severe economic environment.

"This week we are reducing our workforce by 25 percent, Rich Barton, Zillow's CEO said in a blog post. "This was an incredibly painful decision for me and the leadership team, but, in the end, we concluded that we had no choice but to securely batten down the hatches as we sail into a major economic storm.

"The unprecedented … Read more

More layoffs: Pandora cuts 20 employees

Pandora founder Tim Westergren announced on the company's blog Thursday that he is reducing the workforce by 20 employees. The layoffs will shrink Pandora's staff of 140 employees to 120.

"This is a very sad day for Pandora, and for me personally," Westergren explained. "Today we reduced our staff from 140 to 120 employees. Like virtually every company, Pandora is not immune to the challenges presented by the current economic turmoil. We are trying to react quickly and responsibly to the new environment.

Westergren did point out that there is a silver lining for his … Read more

The week in tech layoffs

With financial troubles taking their toll on every sector of the economy, an increasing number of companies are laying off employees to stay afloat. And the technology industry is no different.

The long and growing list of tech companies planning staff cuts ranges from Pandora to Tesla Motors, leaving a slew of highly trained workers looking for new opportunities:

Appcelerator, an open-source software company that develops products and services for rapid rich Internet application development, was forced to close its Atlanta office Wednesday and lay off its remaining six employees working in the city. Pandora, the online music streaming service, … Read more