eBay to Lay Off 9% of Its Workforce in Its Second Cut This Year

eBay is cutting again — not because the strategy is failing, by its chief executive's own account, but because management wants fewer people spread across more of the company and more resources behind the categories growing fastest.

eBay will lay off about 9% of its workforce as the online marketplace looks to simplify its operations and shift resources to its fastest-growing areas, chief executive Jamie Iannone told staff in a memo that was reviewed by Reuters. A spokesperson for eBay confirmed the layoffs to Reuters on Wednesday, saying the move will eliminate around 1,000 jobs. Affected staff will be informed in the coming days, Iannone said in the memo.

A second cut in eight months

This is eBay's second workforce reduction of 2026. The company also let go about 6% of its workforce, or 800 employees, in February, as part of efforts to streamline operations. Two rounds in a single year will have removed roughly one job in seven from the base eBay started with: the company employed approximately 12,300 people globally at the end of 2025, about 7,200 of them in the United States, according to its annual report. Neither round has come with a disclosed restructuring charge in the reporting so far, and eBay has not published the memo itself — the account of it comes from Reuters, which reviewed it, and from the company's confirmation to Reuters.

Cutting while the strategy is said to be working

The tension in this cut is that it is not being sold as a rescue. “Our strategy is working,” Iannone said in the memo, adding that “continuing to capture the significant opportunity ahead requires us to make thoughtful choices about where we focus and invest.” The numbers behind that confidence are real enough: eBay shares have risen nearly 40% this year, comfortably outperforming the benchmark index's gain of around 12%, and investors did not flinch at the news — shares of eBay rose about 1% in early trading on Wednesday. Layoffs at a rising company read differently from layoffs at a shrinking one: this is management choosing a leaner shape while it can, rather than being forced into one.

Where eBay is placing its bets

The areas eBay wants to feed are the ones that have set it apart from bigger rivals. The company has pushed into authenticated luxury goods, collectibles and refurbished products, categories that draw enthusiasts willing to pay more for valuable items. It has also benefited this year from its $1.4 billion deal for Depop, the fashion resale platform, which expanded its reach among younger consumers and strengthened its position in the growing market for second-hand goods. That momentum helped eBay forecast third-quarter revenue above Wall Street estimates when it last reported results, in August.

Earnings next week will test the story

The next check arrives quickly: eBay is slated to report its latest earnings next week. Investors will be listening for which teams and categories actually gain the resources freed by the cuts, whether any severance or restructuring charge is disclosed, and whether the growth areas named in the strategy — luxury, collectibles, refurbished goods and Depop's younger audience — are still carrying the forecast. There is outside pressure in the background, too: GameStop chief executive Ryan Cohen made an unsolicited $56 billion bid for eBay in May, which eBay rejected, saying the offer was “neither credible nor attractive.” A leaner cost base is, among other things, an answer to anyone arguing the company could be run harder. Watch the earnings commentary for the first concrete map of where the 1,000 roles are coming out — and what eBay says it is buying with them.