Shopify Inc (NYSE: SHOP) announced on Tuesday it is laying off roughly 1,000 workers, or around 10% of its global workforce.
The company said most of the impacted roles are in recruiting, support, and sales. Shopify is also eliminating over-specialized and duplicate roles, it said.
Shares of the company plunged 16% on Tuesday.
Employees who are laid off will get 16 weeks of severance pay, plus an additional week for every year of tenure at the company.
CEO Tobi Lutke said in a memo to staff that he miscalculated the span of e-commerce boom and also apologized to the employees.
Picture Credits: Reuters
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