Reports have surfaced that suggest Twitter will be making company-wide layoffs as early as next week. Multiple sources have told Re/code that newly installed chief executive Jack Dorsey is looking to trim the staff (currently about 4,200 employees). A company spokesperson declined to comment.
There’s no indication right now about how big the layoffs will be, but it’s said that every department will be affected.
It’s possible that Twitter is simply looking to create a leaner and more agile workforce. Although the company did alright in terms of revenue in the last quarter, it’s still struggling with user adoption. At the time of the last report, then-interim CEO Dorsey expressed disappointment and stated that in order for Twitter to realize its full potential, it needed to improve in several areas, one of which is having a “more disciplined execution.”
After being named permanent CEO, Dorsey reportedly told investors that product roadmap was among his top priorities. He remarked that the roadmap really needed to sing and added that he felt everyone was behind in this regard. It’s this critique that Dorsey’s executive team will likely bear in mind as the company parts with some employees.
News of layoffs comes at the end of an active week for Twitter. Not only did Dorsey ascend to the top position within the company, but soon after, Project Lightning became a reality, launching as Moments, and then new video ad features became available. Now, Dorsey appears to be preparing for the next wave of changes.
Shares in Twitter closed at $30.84, but have currently dropped 2.74 percent in after-hours trading.