Wayfair executives have remote employees are more likely to be terminated in the latest layoffs.
The executives conducted an all-hands meeting to discuss the recent 13 percent staff cuts.
The online furniture retailer has been grappling with financial challenges, leading to its fourth major layoff since 2020.
During the meeting, employees raised concerns about the company’s financial stability and the rationale behind the layoffs.
CEO Niraj Shah said there’s a need for continued hard work for the company’s and employees’ benefit.
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According to the executives, the layoffs were designed to streamline decision-making within teams.
Co-founder and co-chairman Steve Conine reassured staff the company isn’t considering a sale.
He joked bankruptcy would be a collective failure of not working hard enough.
Wayfair, which saw a surge in demand during the early stages of the pandemic, announced last week the layoff of approximately 1,650 workers.
Despite this growth spurt, sales and profits have since stagnated.
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Shah said: “We went overboard in hiring during a strong economic period and veered away from our core principles, and while we have come quite far back to them, we are not quite there.”
Shah noted that while Wayfair continues to offer some remote roles, it has identified those better suited for in-person work.
The company believes most employees should be physically present in the office most days.
Shah’s message to the company highlighted the importance of focused, committed teams, suggesting that excess of even highly talented personnel can be counterproductive.
