Expedia Group, a Seattle-based travel giant, has recently laid off 36 workers in Washington as part of a workforce reduction that was announced earlier this year. This reduction is expected to impact around 1,500 roles, primarily in the Product & Technology division, which accounts for over 8% of the company’s workforce. The layoffs are part of an ongoing operational review aimed at prioritizing essential work and investing in key growth areas.
In an internal memo sent to employees in February, Expedia stated that they have completed many significant technical milestones and are currently reviewing operations, potentially leading to the loss of up to 1,500 roles globally. While some roles have been impacted, this review process allows for investment in strategic growth areas. Consultation with local employee representatives will take place before any final decisions are made. A filing with the Washington Employment Security Department in February showed that 208 employees were laid off in the state.
Expedia is projected to incur pre-tax charges of $80 million to $100 million related to the broader layoffs, with total employment decreasing from 25,000 employees in 2019 to 14,800 as of 2021 after a restructuring just before the pandemic. The company has seen smaller cutbacks in recent years, including unspecified job losses in the Traveler Products team in 2023. Despite this, total employment rose to 17,100 by the end of that year, with half of those positions in tech roles, according to Expedia’s annual 10-K filing.
Expedia Group’s portfolio includes popular brands like vrbo, Orbitz, Hotwire, Trivago, and Hotels.com, in addition to its flagship Expedia.com. The company has been integrating the tech platform beneath its various brands in recent years and launched a unified travel loyalty program called One Key for Expedia, Hotels.com, and vrbo. Expedia reported $2.9 billion in revenue for the first quarter of the year, showing an 8% increase year-over-year. However, shares fell after the earnings release due to a tech migration process that was slower than anticipated.
Ariane Gorin, the new CEO of Expedia, took over the role earlier this month, replacing former CEO Peter Kern as part of a move announced in February. Gorin, a longtime Expedia leader, is now leading the company during this period of transition. Former Expedia CTO Rathi Murthy and Sreenivas Rachamadugu, senior vice president of core services product and engineering, abruptly left the company this month due to a violation of company policy. Expedia is navigating through these changes and challenges as it continues to adapt to the evolving travel industry landscape.
