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Expedia Group cuts 36 workers as part of wider layoffs

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Expedia Group, a Seattle-based travel giant, has announced the layoff of 36 workers in Washington as part of a broader workforce reduction initiative. The cuts were confirmed by a spokesperson for Expedia and are expected to impact about 1,500 roles globally, primarily in the Product & Technology division. This move comes following an operational review that aims to focus on essential work and invest in key growth areas. The company had already announced earlier this year that significant technical milestones had been completed, leading to the prioritization of operations which may result in job cuts.

A regulatory filing revealed that 208 employees were laid off in the state of Washington in February, with pre-tax charges of $80 to $100 million expected to be incurred by Expedia related to the broader layoffs. The company’s workforce had decreased from over 25,000 in 2019 to 14,800 as of 2021 after a restructuring just before the pandemic. Despite smaller cutbacks in recent years, including job losses in its Traveler Products team last year, Expedia’s total employment had risen to 17,100 by the end of 2023, with a significant portion of those positions in tech roles.

Expedia Group comprises various brands such as vrbo, Orbitz, Hotwire, Trivago, and Hotels.com in addition to its flagship Expedia.com. The company has been working on combining the technological platforms of its different brands and recently launched a unified travel loyalty program called One Key for Expedia, Hotels.com, and vrbo. Despite reporting $2.9 billion revenue for the first quarter of the year, which marked an 8% year-over-year increase, Expedia’s shares fell after the earnings release due to the slower than expected progress in a tech migration.

The new CEO of Expedia, Ariane Gorin, recently took over her role after replacing former CEO Peter Kern as part of a move announced earlier this year. The company also witnessed the departure of former CTO Rathi Murthy and Sreenivas Rachamadugu, senior vice president, core services product and engineering, due to a violation of company policy. Expedia’s corporate restructuring and workforce reduction efforts signal a shift in priorities and a focus on sustainable growth and long-term success.

In conclusion, Expedia is taking proactive steps to streamline operations, prioritize key growth areas, and invest in essential work, which has resulted in job cuts and restructuring. The company continues to adapt to the changing travel landscape and technological advancements, aiming to stay competitive and resilient in the industry. With a new CEO at the helm and a focus on strategic initiatives, Expedia is positioning itself for future success despite the challenges faced in the wake of the pandemic.

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