BOSTON - Online furniture and home goods retailer Wayfair announced plans Thursday to layoff about 550 employees, eliminating about 3 percent of its workforce, multiple media outlets reported.
According to the Wall Street Journal, the company employs an estimated 17,000 people worldwide, and about 350 of the cuts are expected to affect its Boston headquarters.
“We continually evaluate the needs of the business and work to increase efficiencies,” a Wayfair spokeswoman told the Journal, adding, “We remain as confident as ever in Wayfair’s future.”
The “organizational changes” are part of an effort to streamline the company’s operations and should come as no surprise, USA Today reported.
“The company has prioritized growth for the past few years and has been successful in boosting revenue. However, this has never been translated into profit, and Wayfair has chalked up huge losses over an extended period of time. This dynamic could not go on indefinitely,” Neil Saunders, managing director of GlobalData, told USA Today.