Tripadvisor Fires More Than 150 Employees and Contractors: Scoop
Skift Take
Key Points
- Tripadvisor laid off around 75 employees and 90 contractors, affecting staff in the U.S., Canada, and Europe.
- The layoffs were concentrated in Brand Tripadvisor, particularly affecting management roles and not impacting sister brands like Viator.
- Financial underperformance and a need for strategic focus were cited as reasons for the layoffs, amid a backdrop of acquisition plans.
Summary
Tripadvisor has laid off approximately 75 employees and terminated contracts with about 90 contractors, impacting staff primarily within Brand Tripadvisor in the U.S., Canada, and Europe. The layoffs, which were management-heavy, did not affect sister brands such as Viator and TheFork. These organizational changes come amid financial challenges and strategic realignments as Tripadvisor prepares to acquire its parent company, Liberty Tripadvisor, for $435 million.
Tripadvisor laid off roughly 75 employees and severed ties with around 90 contractors, a move the company announced in an all-hands meeting this morning led by Tripadvisor President Kristen Dalton, according to two sources familiar with the layoffs.
One of the sources pegged the number at closer to 150 impacted employees and contractors. They included staffers in the U.S., Canada, and Europe.
A Tripadvisor spokesperson said: "The company does periodically make decisions that result in organizational changes or impacts to roles. However, we don’t comment on personnel matters."
The firings impacted Brand Tripadvisor, and didn't affect sister brands Viator and TheFork, one of the sources said. The personnel affected worked in trip-planning, reviews, experiences, operations and engineering, among other areas of the company.
"The layoffs were management heavy," one source said, adding that one of the casualties was the general manager of Tripadvisor experiences. Both Viator and Tripadvisor sell experiences.
Brand Tripadvisor Versus Viator
Sources said Dalton made references to financial targets falling short and the need to have a laser focus on strategy as rationales for the firings.
The Brand Tripadvisor segment includes hotel metasearch, media and advertising, and experiences and dining. Viator, in particular, has overtaken Brand Tripadvisor as the darling of the group: Viator's revenue in the third quarter grew 10% year-over-year compared with Brand Tripadvisor's 12% decline.
In the third quarter of 2023, Tripadvisor laid off around 125 employees. The layoffs and other cost reduction measures led to around $35 million in annual cost savings at Brand Tripadvisor and $10 million at the dining reservations platform, TheFork.
The layoffs announced Tuesday occur as Tripadvisor is poised to acquire its parent company, Liberty Tripadvisor, for $435 million.
Photo Credit: A Tripadvisor vinyl decal on a restaurant window. Adobe Stock / eugen
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