Due to a substantial profit loss in their third quarter, Yahoo plans to let go of 1500 workers. The company experienced a 64 percent loss in profits, which led to the decision to reduce paid staff by approximately 10 percent. As reported by the Associated Press (AP), the firings are stated to be complete by the year’s end.
Yahoo reportedly laid off a large number of employees again several months earlier to offset the financial crunch that the state of the economy has left the company in. The stock price for shares of the search engine giant is stated to be at its lowest in more than five years.
Other online entities have been forced to make adjustments as well to compensate for financial losses. According to the AP, eBay Inc. is getting rid of an estimated 1600 positions in an effort to be more financially cautious, and Yahoo nemesis Google has resorted to cost cutting measures as well.
Yahoo combined with Google has control of over 80 percent of the nation’s search engine advertising market. The two companies have made efforts to combine technology forces; however, the U.S. Justice Department has yet to approve the alliance due to possible issues with unfair competition for other companies.