Bad news, Groupon is planning to send 1,100 employees on vacation

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Groupon

If you are one of the employees who are working in Groupon, then this is a worrying news for you. Groupon is planning to send its 1100 employees on vacations. Yes, you heard it right. However, it is not a vacation where you are going to enjoy, as Groupon is planning to lay off 1,100 or 10% of the total working staff who are working in the company over the time period of next year.

groupon

The reason behind this laying off is that Groupon is planning to strengthen their technology systems and operations. Beside this, they are also taking care of those non profitable businesses,  which they do in the international market.

These job cuts will definitely affect the company’s customer service and “Deal Factory” teams whose main role is to do the research work for sales leads, maintain healthy relations with merchants and write a promotional statement for site’s deals.

Currently, Groupon is closing its business connections from several countries. Here is the list of countries – Morocco, Panama, the Philippines, Puerto Rico, Taiwan, Thailand, and Uruguay. Recently, Greece and Turkey are also added to the list.

Groupon

Here is what Groupon has to say

“Two years ago, we started the ambitious process of unifying our global technology platforms, tools and processes. This One Playbook initiative was designed to help us replace years of technical debt and disparate operations with the products, tools and processes that drive our North American business. Our goal was to set the stage for Groupon’s next chapter–as a global company, with more leverage and efficiency in our core operations, and a stronger platform for growth.”

“Alongside this process, we’ve also taken a close, honest look at where we do business [and] saw that the investment required to bring our technology, tools and marketplace to every one of our 40+ countries isn’t commensurate with the return at this point.”

Over the past few years, Groupon is continuously making attempts to turn around its business. The task which they have taken in their hand is not going to be easy, as Groupon has many competing companies present in the market, such as Amazon and eBay. There are also social networks like Facebook and Twitter, which have been launching their own “Buy now” buttons.

For now, Groupon has to make a one time investment of $35 million to reconstruct the organization. Lets see what more changes Groupon will bring in the future.

Image credit : keepcalm-o-matic

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