Expedia Group, a prominent player in the travel tech industry, has declared plans to reduce its workforce by approximately 1,500 employees this year, constituting roughly nine percent of its global staff.
According to Expedia’s recent financial filing with the Security and Exchange Commission (SEC), this decision is part of a broader restructuring effort aimed at realigning resources in response to the company’s ongoing organizational and technological evolution.
The statement released by Expedia outlined that the restructuring would involve notifying affected employees, a process that commenced on February 26, 2024. The company anticipates incurring total pre-tax charges and cash expenditures ranging between $80 million and $100 million, primarily attributable to severance packages and compensation benefits for impacted employees.
Kern expressed gratitude for the contributions of all staff members and sought to alleviate any concerns by directly addressing the situation.
Expedia, which boasts a workforce of 17,100 individuals worldwide, operates several well-known brands including Hotels.com, Orbitz, and Trivago.
In a memo addressed to employees, Expedia’s CEO, Peter Kern, acknowledged the profound impact of the impending layoffs, particularly within the product and technology teams. Kern expressed gratitude for the contributions of all staff members and sought to alleviate any concerns by directly addressing the situation.
This announcement follows Kern’s earlier decision to step down as CEO, with Ariane Gorin slated to assume the role effective May 13. Kern will transition into the position of vice chairman and remain a member of the Board of Directors, offering continuity and support during the leadership transition.
Reflecting on his tenure, Kern expressed pride in the company’s achievements amid significant transformation, positioning Expedia for sustained success in the future. He reiterated his commitment to collaborating closely with Gorin and the leadership team to capitalize on the opportunities presented by the company’s strategic realignment.
