Twitter executives are expected to announce layoffs very soon. Analysts expect that this social media company will announce an 8 percent cut before or during their quarterly earnings report, which is set for October 27th.
That 8 percent cut translates to around 300 Twitter employees. There has been no clear indication yet as to which departments will be the hardest hit, but most analysts expect the sales team to experience the most layoffs.
Just a year ago, Twitter also announced an 8 percent layoff around this same time. That was also the time Jack Dorsey, an original co-founder of Twitter, stepped in to become the company’s CEO. Dorsey also serves as CEO for the financial services company Square, Inc.
Twitter executives have not told the media if these cuts will affect their Periscope division. Periscope, which allows people to stream live videos, was bought by Twitter in 2015.
Twitter has been facing many challenges recently. Some of the major issues Twitter is trying to solve at the moment include increasing their user growth organically, dealing with harassment issues, and reigning in their spending.
Many stockholders were actually optimistic about Twitter’s prospects just a few weeks ago. Back then, there were major rumors circulating all around Wall Street about a takeover bid for Twitter. Twitter’s stock, which trades under the ticker TWTR, went as high as $24 at the beginning of October. Some of the companies said to be interested in acquiring Twitter included Microsoft, Google, Salesforce.com, and the Walt Disney Company.
However, since Salesforce.com and Disney have openly said they will not be buying Twitter anytime soon, the stock has plummeted in recent days. The stock is currently hovering around $17.