LinkedIn is set to reduce its workforce amid ongoing layoffs in the tech industry, as reported on Wednesday. The changes impact various departments, including engineering, product, and marketing, although the exact number of the 17,500 employees affected has not been disclosed.
CEO Daniel Shapero, who assumed leadership last month, indicated in an internal memo that these layoffs are part of regular business adjustments aimed at securing future success. In a related statement, a company representative confirmed the organizational changes.
Despite these job cuts, LinkedIn recently reported strong financial results, achieving over $5 billion in quarterly revenue for the first time earlier this year and recording a 12% increase in annual revenue compared to the previous year. This decision follows a series of workforce reductions at parent company Microsoft, which has seen significant layoffs over the past year.
Microsoft has been restructuring its workforce, having cut approximately 15,000 jobs in recent layoffs, while also offering voluntary retirement options to older employees. Although the company has invested heavily in artificial intelligence, it has denied any direct correlation between its AI initiatives and the workforce reductions.