Social network giant Twitter Inc. is planning to eliminate 300 jobs this week, an announcement that may come before Twitter releases third-quarter earnings on Thursday. This severe decision might affect an 8 percent of its workforce, and could be related to the firm´s failure to sell itself, after major companies as Salesforce.com Inc., Alphabet Inc. and The Disney Co. walked away from a deal.
According to Bloomberg, this number of firings is the same percentage it did last year when co-founder Jack Dorsey took over as chief executive officer. Apparently, has been having many problems to pay its engineers with stock, giving the fact that its losses and the 40 percent in its share price the past 12 months.
"We are moving forward with a restructuring of our workforce so we can put our company on a stronger path to grow. Emails like this are usually riddled with corporate speak so I'm going to give it to you straight," Dorsey wrote in a letter to employees with the subject line "A more focused Twitter."
"So we have made an extremely tough decision: we plan to part ways with up to 336 people from across the company. We are doing this with the utmost respect for each and every person. Twitter will go to great lengths to take care of each individual by providing generous exit packages and help finding a new job," he noted.
According to CNET, the social media giant has reportedly told potential to tie up negotiations on a sale by October 27, the day when it will announce its third-quarter earnings. The company had 3,860 employees globally as of June, and this financial situation has made it harder for Twitter to compete for talent with competitors as Google or Facebook Inc., which makes the option of cutting jobs, as an effective way to relieve some of this pressure.
