Etsy is laying off about 12% of its workforce, affecting around 220 employees, mainly across its Product and Engineering teams. The restructuring, announced on August 6, comes despite strong quarterly results, with CEO Kruti Patel Goyal saying the move is intended to position the company for long-term growth rather than reduce costs or replace workers with artificial intelligence.
The layoffs will bring Etsy's global workforce down to about 1,600 employees. In a memo to staff, Goyal said the affected employees had played an important role in the company's journey and would receive comprehensive severance packages.
