TikTok’s US-based e-commerce team has been hit with layoffs, as per Business Insider. Five employees reportedly came forward with the TikTok layoff news, saying that the global governance and experience team handling marketplace safety for users, sellers and creator within TikTok Shop are expected to be hit with the restructuring plan.
TikTok layoffs: E-commerce governance and experience team was already in hot water
While the scale of these TikTok job cuts are yet to be known, the layoff report has emerged after the US e-commerce team failed to meet performance expectations in 2024. The team in question was already under pressure after Bob Kang, the organisation’s top exec red-flagged its performance during an all-hands meeting in February. The same month members of TikTok’s global trust and safety team were hit with job cuts, according to Reuters. These layoffs struck teams in Asia and Europe, Middle East and Africa, as per sources familiar with the matter.
GNE, which is short for E-commerce governance and experience, is tasked with monitoring product listings, seller compliance and protecting intellectual property. Some employees of the team also got low scores in their annual performance review delivered in March. The situation followed up with plans to improve performance. However, in other cases, it even led to exits with severances.
TikTok layoffs come amid US-China tensions
Despite reversing the decision on his reciprocal tariff measures, US President Donald Trump has offered relief on country-specific tariffs except for one country. China’s tariff rate will jump to 145%, a White House official confirmed to CNBC. Plus, with China’s defiance also making headlines in the escalating trade wars, negotiations with TikTok’s Beijing-based owner ByteDance over its divestment from the parent company have also fallen into a deeper pit.
Even though the White House finalised a deal on TikTok last week, Trump’s Liberation Day tariffs pushed China to pull out of approving the deal. Meanwhile, Trump’s latest executive order gave the app additional 75 days to reach a deal and stop a ban. The previous deadline expired Saturday, per Benzinga.