Retailers

Etsy cuts its workforce by 15% following profit loss

Etsy has announced it will be cutting 140 positions, or approximately 15% of its total work force to ‘improve results’.

The hand-made gift retailers, which is popular among jewellery makers, reported $421,000 (£332,505) in losses during the first quarter of the year, down from more than $1m (£789,800) the same quarter the year before.

The business has been making a loss every year since at least 2012, according to its annual report.

Josh Silverman, Etsy’s chief executive cfficer, said: “My conviction that Etsy has a unique opportunity within the e-commerce space has intensified during my initial weeks as CEO.

“Our vibrant community, strong brand affinity, 45 million listings, and ability to connect people through commerce provide us with a differentiated offering and solid foundation for growth.

“By focusing on our ‘vital few’ initiatives, we will be a more disciplined company that is better positioned to create the world’s most compelling buying and selling experience.”

Josh added: “In order to drive focus, we took decisive steps to double down on the fewest, highest-impact initiatives in our core marketplace while de-prioritising other projects and streamlining our resources.

“Parting ways with our colleagues is not easy and I am thankful for their contributions. We are moving forward with a more nimble structure that supports our current business needs and allows for faster execution so we can better serve creative entrepreneurs around the world.”

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