A leading global commerce company, Shopify has announced that it will lay off 10 percent of its workforce citing an internal memo sent by CEO Tobi Lütke.
Sumiran (Sumi) Anand, Senior Technical Recruiter, Shopify, shared the post on LinkedIn, “Hello everyone, it’s me again! Impacted by Shopify layoffs this time and ready to bounce back. A little about what I do? Very briefly, I help companies hire the best technical talent on the market while adding value to their talent development and training endeavours through the insights gained throughout the recruitment cycle and beyond. If you are looking to add a technical recruiter to your team, please leave me a message here. Chat soon!”
According to the memo, which Shopify posted on its website, the job cuts are being made because Shopify mistakenly believed that the e-commerce bump fueled by the Covid-19 pandemic would continue.
The company CEO Tobi Lutke said in a memo that Shopify has to go through a reduction in workforce that will see about 10 percent leave by the end of the day.
Team,
I’m sitting down to write this email not far from where I once sat down to write the first few lines of code for Shopify itself. Those lines of code started a company and sent it on a fascinating journey full of wonder, toil, success, failure, ambition, and above all else comradery. Being on a journey, surrounded by great teammates, and doing difficult things is what it’s all about.
All this makes this email so much harder to write: the next part of the journey will involve fewer teammates than we have picked up along the way.
Shopify has to go through a reduction in workforce that will see about 10% left by the end of the day. Most of the impacted roles are in recruiting, support, and sales, and across the company we’re also eliminating over-specialized and duplicate roles, as well as some groups that were convenient to have but too far removed from building products. Emails will go out in the next few minutes that will clarify if your role was affected; those impacted will then have a meeting with a lead in their team.
For a company like ours, this news will be difficult to digest. It will be even harder for those leaving today. I’ll share as many details as I can about how we got here and, for those that are leaving, what will happen next.
Building companies comes with high highs and low lows. Today I had to share some sad news with Shopify. https://t.co/gNO37lWYpg
— tobi lutke (@tobi) July 26, 2022
Shopify grew from a 1,900 team in 2016 to a 10,000-strong workforce by the end of 2021, as per the Company filings. The company has lost 75 percent of its share value so far this year.
