In the latest round of tech layoffs, Alibaba layoffs are here. As per a report, Alibaba Group Holding Ltd is set to lay off almost 7 per cent employees as early as this week.
According to a Bloomberg report, Alibaba layoffs are set to impact workers in the cloud division of the tech giant. These layoffs, if carried out as per the plan, would potentially impact 7 per cent of the Alibaba’s total workforce.
The report adds that the move of Alibaba layoffs forms a part of a comprehensive restructuring strategy which is designed in way that divisions are positioned for rapid growth. The idea is also to aim for a independent spinoff of divisions, which could eventually lead to an initial public offering (IPO).
Alibaba layoffs though impacting about 7 per cent employees, would leave many without jobs. As per the report, the company has also reportedly started informing and contacting employees about the mass layoffs.
Alibaba layoffs are however, leading to a scenario where the company is either giving people the option of accepting severance packages or transferring to other divisions. But even the latter is only being offered to a few.
With Alibaba layoffs, the company reportedly plans to streamline its cloud service business as the company intends to establish it as a standalone entity in the near future. However, it must be noted that the exact number of employees being affected by these layoffs is yet to be known.