APRIL 30, 2020 — TRIP ADVISOR LAYS OFF 900 EMPLOYEES, CLOSING BOSTON, MASSACHSETTS AND SAN FRANCISCO OFFICES PERMANENTLY
According to a company spokesperson, the layoffs are “necessary and proportionate to the reality we face as a business and as an industry.”
A Message to Employees From Tripadvisor CEO and Co-founder, Steve Kaufer…
Due to the effects of the COVID-19 pandemic on our business, Tripadvisor today announced a workforce reduction that will impact more than 900 employees, which is approximately one-quarter of our total workforce.
Phase 1 -- We cut nearly all but the most essential discretionary spending, effectively ending all business travel, ending non-essential vendor relationships, pausing nearly all hiring and significantly reducing office perks and benefits.
Phase 2 of our cost reduction plans. Taking advantage of government subsidy programs in Europe, we were able to swiftly furlough hundreds of employees, primarily at TheFork, in sales-related roles. This immediate action helped Tripadvisor to preserve needed operating capital. We had hoped cutting discretionary expenses and furloughs would be enough, but as the pandemic worsened, it became clear that the company needed to take additional cost saving measures.
Phase 3, which includes a significant workforce reduction and additional Tripadvisor employee furloughs. In most markets, we will also be asking for the majority of our remaining salaried employees to take both a temporary pay reduction and also to work a reduced schedule for the summer months. Some of the guiding principles that influenced these decisions include a focus on: Reducing our overall headcount across the company, particularly in areas where we are seeing reduced client demand; Reducing management layers, giving more responsibility to a fewer number of people; Closing open roles within the company that are not deemed essential to our immediate needs, as we radically focus on the most important priorities; Reducing our global real estate footprint (which currently includes 52 offices we maintain around the world. “
It appears many companies are taking advantage of the current pandemic to perform necessary restructuring, cost reduction, and layoffs — hoping that investors and customers do not hold management responsible for their past performance.
Original post…
Needham, Massachusetts-based TripAdvisor, the online travel company platform that supports reservations for transportation, lodging, travel experiences, and restaurants, has announced a reduction in force of approximately 200 employees in a cost-cutting program to meet challenges related to revenue and margins.
The company is also being impacted by Google’s revamped search algorithm which diverts search users to its own paid advertisers rather than the original presentation of organic search results. The company appears reluctant to discuss strategy or details for competitive advantage.
Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?
