Yahoo to Cut 14 Percent of Its Workforce

Yahoo today confirmed plans to hand out around 2,000 pink slips to its employees, which is roughly equivalent to 14 percent of its workforce. The planned layoffs are an attempt to turn things around at Yahoo in a massive reorganization effort led by the company's new CEO, Scott Thompson, the former PayPal president who joined Yahoo in January of this year, four months after Carol Bartz was ousted from the position.

"Today's actions are an important next step toward a bold, new Yahoo — smaller, nimbler, more profitable and better equipped to innovate as fast as our customers and our industry require. We are intensifying our efforts on our core businesses and redeploying resources to our most urgent priorities. Our goal is to get back to our core purpose — putting our users and advertisers first — and we are moving aggressively to achieve that goal," said Scott Thompson, CEO of Yahoo. "Unfortunately, reaching that goal requires the tough decision to eliminate positions. We deeply value our people and all they've contributed to Yahoo!."

Looking for a job at Yahoo? You're barking up the wrong tree, Fido.
But be a good dog and go fetch 2,000 pink slips.

The layoffs are expected to save Yahoo $375 million annually, with an estimated $125 million to $145 million showing up as a pretax cash charge in the company's second quarter financial results. Yahoo didn't say which divisions will bear the brunt of the job cuts, only that it's planning to eliminate 2,000 positions.

Yahoo is home to nearly 700 million registered users and thousands of advertisers.