TBM Staff - Mumbai Seattle-based Expedia Group Inc. is set to cut approximately 9% of its workforce, amounting to 1,500 jobs globally, as part of a strategic move to invest in core growth areas. The decision comes in the wake of a recent leadership transition, with Ariane Gorin slated to take over as CEO on May 13, succeeding Peter Kern.
The workforce reduction, aimed at reviving growth and reclaiming market share, follows disappointing holiday results and a less-than-expected outlook for the current quarter. Expedia, a key player in the online travel industry, has undergone significant technical milestones in its transformation, prompting a reassessment of resource allocation to prioritise essential tasks.
According to a company spokesperson, the job cuts are a result of evaluating resources following the completion of major technical upgrades. Expedia currently employs 17,100 people across more than 50 countries, with approximately half engaged in technology roles.
Despite challenges in its consumer business, which has seen single-digit revenue growth in the past two quarters, Expedia’s enterprise division has reported double-digit gains. This division focuses on selling advertising and travel technology to corporate clients and powers travel booking websites for major brands such as Walmart Inc. and American Express Co.
The leadership transition and the workforce reduction signal Expedia’s shift towards a renewed emphasis on sales growth after dedicating the past two years to technical upgrades and loyalty program revamping. Ariane Gorin’s appointment as CEO is part of this strategic realignment as Expedia seeks to navigate the evolving landscape of the travel industry.
