Stitch Fix is laying off 15% of its salaried employees
Peloton shakeup: New CEO and job cutsReplayMore Videos ... (16 Videos)Peloton shakeup: New CEO and job cutsThe story behind the bag that sold out in 2 minutesHere's how much businesses are raking in from the Queen's Platinum JubileeInvestment strategist: Retailers are talking about 'unwanted inventory levels'Sales are up and prices too. Crocs CEO says brand was 'too cheap'Patek Philippe president welcomes hip-hop and NFT fanaticsLuxury watchmakers see good times ahead as shoppers returnInflation is pushing up high fashion prices. Luxury buyers don't seem to mindFacebook's parent company has a brick and mortar store. See what's insideNew tech in Walgreens brings mixed reactions, confusion onlineThis AI technology lets you skip the checkout lineMattel CEO: The company is in growth modeGrocery price hikes: 'We're going to feel the effect for months'Watch the comedic saga around CVS receiptsNeiman Marcus CEO on pandemic struggle and post-bankruptcy comebackGarnier: Time for beauty industry to 'change the game' on sustainabilityNew York (CNN Business)Online clothing retailer Stitch Fix will lay off 15% of its salaried staff — around 330 employees — amid slowing e-commerce growth across the retail sector.
Stitch Fix (SFIX), an online subscription clothing service launched in 2011, boomed a year ago but has struggled this year as more shoppers head to stores and pull back on their online spending. The company is also facing higher costs.The cuts come months after Stitch Fix slashed its forecast for the full year and said its active client count was below expectations.Stitch Fix's stock has lost more than half its value this year and is now worth less than $1 billion.In a memo to staff Thursday, Stitch Fix CEO Elizabeth Spaulding said "in light of our recent business momentum and an uncertain macroeconomic environment, we've taken a renewed look at our business and what is required to build our future."Read MoreLayoffs at Stitch Fix are part of a broader downturn among many online companies that thrived during the pandemic with people spending more time at home, such as Netflix (NFLX), Zoom (ZM), Peloton and others.Click Here To Get Funded!