Etsy to cut 225 jobs amid internal reorganisation

Marketplace platform Etsy has said it will be scrapping 11 percent of its workforce, equating to around 225 jobs, amid an ongoing reorganisation of its internal structure.

The announcement was made by the company’s chief executive officer, Josh Silverman, who said in an open letter that the shift was an attempt to “more closely align [Etsy’s] resources with [its] most important business priorities and better serve [its] customers”.

Silverman penned the decision down to the “challenging macro and competitive environment” the company is currently facing, as well as the flat gross merchandise sales (GMS) that have remained unchanged since 2021, resulting in less sales for sellers.

He also noted that employee expenses had grown despite the introduction of cost-cutting measures and a pause on hiring, leading to an unsustainable trajectory.

Looking ahead to the new year, Silverman said that a “Vital Few” projects and initiatives have been outlined in order to bolster growth, centred around a “leaner, more agile team” with a simple and efficient structure.

Next to this, Silverman also announced some changes to his executive team, each to come into effect from January 1, 2024.

Among them, Nick Daniel is to take on payment and fulfilment functions in the product division, while Raina Moskowitz was to expand her role as chief operating officer and marketing officer following former CMO Ryan Scott’s departure.

Additionally, Kim Seymour will be stepping down from the position of chief human resources officer, and will be succeeded by Etsy’s current VP of global people and talent strategy.