Wayfair Becomes Latest to Eliminate Positions
Amazon, which long staved off layoffs, plans to eliminate more than 18,000 positions in cuts that started last year. Subscription box apparel retailer Stitch Fix also announced this month that it cut about 20% of its remaining salaried workforce following its decision to lay off 15% of its salaried workforce last summer. Saks Fifth Avenue is also gearing up for layoffs on its digital business, Saks.com, according to The Wall Street Journal, which reported the retailer plans to cut about 3.5% of its workforce.
The growing layoff trend comes as continued economic uncertainty impacts consumers amid record inflation and hiked interest rates. Companies like Wayfair, Stitch Fix and Amazon — among other e-commerce brands — saw rapid and substantial growth during the COVID-19 pandemic, but as restrictions and fears related to the disease have subsided, they’ve struggled to maintain that growth and momentum.