eBay’s PayPal Spending $15 Million On Consolidating Its Product Groups, Laying Off 325 Employees, 120 Contracts

Posted on Oct 30 2012 - 5:27am by Editorial Staff

In the wake of its restructuring efforts over recent third quarter results announcement and fourth quarter guidance, the company has announced a planned fourth quarter restructuring charge of approximately $15 million informing about 325 employees of its PayPal product and technology unit of job eliminations as well as the company is ending contracts with approximately 120 contracts globally. The reduction is the result from consolidating nine product groups into a single, more agile organization. PayPal currently has more than 117 million active accounts.

eBay recently announced its third quarter results with revenues increased 15% to $3.4 billion, as compared to the same period last year in which PayPal has ended the quarter with 14% increase in active registered accounts as compared to the same period previous year with reporting increased 23% revenue year over year and net total payment volume (TPV) grew 20% year over year to $35.2 billion. Doing and taking such measure will certainly help the company if approximating the things for long run, and this is what we believe that the company is doing.

About the Author
Editorial Staff

Editorial Staff at I2Mag is a team of subject experts led by Karan Chopra.