In latest round of layoffs, internet giant Yahoo has decided to layoff 20 per cent of its total workforce as part of restructuring at its ad tech division, according to media reports.
Layoff announcement by Yahoo comes a day after Disney CEO Bob Iger announced that the company would lay off around 7,000 employees.
The cuts will impact nearly 50 per cent of Yahoo's ad tech employees by the end of this year, including nearly 1,000 employees this week, news agency Reuters reported quoting a company statement.
Yahoo added that the move would enable the company to narrow its focus and investment on its flagship ad business called DSP, or demand-side platform.
This comes as many advertisers have pared back their marketing budgets in response to record-high inflation rates and continued uncertainty about a recession.
A lot of US companies from Goldman Sachs Group to Alphabet have laid off thousands of employees this year to ride out a demand downturn owing to high inflation and rising interest rates.
Layoffs are coming at a time when the world economy is going through an economic downturn and things like sacking of employees and recession are being seen as a spill-over effect. As per many experts, this trend of mass layoffs is expected to continue even in 2023 as companies and economies brace themselves for several challenges.