The online auction giant, eBay, is planning a round of mass layoffs that could potentially affect thousands of its workforce by 2015.
The plan, leaked by unnamed sources in a report on The Wall Street Journal, will mainly focus on EBay's core marketplace division. EBay is expected to lay off about 3,000 jobs or 10 percent of its total workforce.
EBay is a multi-billion dollar e-commerce company that allows consumer-to-consumer as well as business-to-consumer sales services. It is currently manning its global operations from it's headquarter in San Jose, California. In addition, the online auction giant also has existing localized operations in 30 key countries from all over the world.
When implemented, the cut will mark eBay's most massive job reduction to date. Back in 2012, as part of a major shake in one of its subsidiaries, PayPal, the online auction giant also implemented massive downsizing that resulted to loss of about 325 jobs.
PayPal is an international digital wallet based e-commerce company that allows payments and money transfer to be made via the World Wide Web.
In an article by Time.com, the reported job cuts follows a few months after the auction giant is set to split Paypal as a trading entity. Early in September of this year, eBay announced the split.
It can be recalled that in 2002, the auction giant acquired Paypal for $1.5 billion as a means for eBay to ease up PayPal transactions. While it once made sense to merge a major online auction site with a payments company, investors and industry experts have always been critical of the pairing. The merge has since been successful only is areas of pushing traffic.
When asked to comment on the matter by Geekwire, Amanda Miller, the spokesperson for eBay, was quick to dispel the rumors.
"We are focused on running the business and setting eBay and PayPal up for success as independent companies," Miller responded.
