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LinkedIn cuts 606 jobs weeks after reporting 12% revenue growth

LinkedIn cuts 606 jobs weeks after reporting 12% revenue growth

LinkedIn has informed 606 employees across California that they will lose their jobs this summer, weeks after the professional networking platform reported 12% year-on-year revenue growth in its latest quarterly results.

The layoffs, disclosed through a Worker Adjustment and Retraining Notification (WARN) filing reviewed by multiple US media outlets, are expected to take effect on July 13.

The cuts come as technology companies continue reshaping operations around artificial intelligence investments, leaner team structures and tighter cost controls despite steady business performance.

According to reporting by the New York Post, the largest number of layoffs will hit LinkedIn’s Mountain View office in California, while additional reductions are planned across San Francisco, Sunnyvale and Carpinteria.

California offices bear the brunt of cuts

The WARN filing shows the layoffs are spread across several key LinkedIn locations in California.

Breakdown of the announced job cuts:

• 352 employees laid off at LinkedIn’s Mountain View office
• 66 remote workers linked to the Mountain View hub affected
• 108 employees impacted in San Francisco
• 59 layoffs in Sunnyvale
• 21 employees affected in Carpinteria

The layoffs are among the largest workforce reductions announced by LinkedIn in recent years and come amid growing uncertainty across the broader technology sector.

According to Reuters, LinkedIn was also considering reducing around 5% of its overall workforce. Based on the company’s reported headcount of roughly 17,500 employees, that could translate to nearly 875 jobs globally.

LinkedIn has not publicly confirmed whether further layoffs are planned beyond the California reductions disclosed in the WARN filing.

Strong revenue growth contrasts with job cuts

The timing of the layoffs has raised questions internally and across the industry because the cuts follow a period of strong financial performance.

In its latest quarterly earnings report, LinkedIn said revenue had increased 12% year-on-year, reflecting continued growth in subscriptions, recruitment services and advertising products.

The contrast between revenue growth and workforce reductions mirrors a wider pattern emerging across Silicon Valley, where companies are maintaining profitability while simultaneously reducing headcount and increasing investment in AI infrastructure.

The LinkedIn layoffs were announced on the same day Meta began rolling out layoffs affecting nearly 10% of its workforce, according to Reuters and other media reports.

Internal memo pointed to restructuring plans

The restructuring had been signalled internally earlier this month.

According to Business Insider, LinkedIn CEO Daniel Shapero sent a memo to employees outlining plans to reorganise operations, reduce spending and refocus investments on infrastructure and long-term priorities.

In the memo, Shapero wrote that LinkedIn needed to “reinvent how we work” by creating more agile teams and shifting resources towards areas expected to deliver stronger long-term returns.

He also confirmed that multiple divisions would be affected by the restructuring, including:

• Global Business Organisation (GBO)
• Marketing
• Engineering
• Product

The memo further stated that LinkedIn would reduce spending in several operational areas, including:

• Marketing campaigns
• Vendor spending
• Customer events
• Underutilised office space

Shapero said the company was making “hard prioritisation and tradeoffs” as part of the restructuring process.

AI spending reshapes tech employment trends

The layoffs underline how AI investment is changing hiring priorities across the technology industry.

Major technology companies have spent the past year increasing expenditure on AI infrastructure, data centres, cloud computing and automation systems while simultaneously cutting costs in traditional business functions.

Industry analysts have increasingly linked the trend to a broader operational reset where companies aim to improve productivity with smaller teams supported by AI tools.

LinkedIn’s latest cuts also arrive during a period of heightened scrutiny around employment stability across Silicon Valley, particularly as companies continue reporting healthy earnings while reducing headcount.

Employee concerns have intensified across the sector as restructuring announcements become more frequent despite improving revenues and strong demand for AI products.

More restructuring could follow

While LinkedIn has not confirmed additional layoffs beyond the 606 roles already disclosed, reports suggest the company may continue evaluating workforce reductions in the months ahead.

Reuters previously reported that the company was exploring wider cuts as part of a broader operational review.

The latest layoffs suggest LinkedIn is following a path increasingly common across Big Tech: protecting growth areas tied to AI and infrastructure while reducing spending elsewhere.

For employees across the sector, the message is becoming clearer. Strong revenues alone are no longer enough to guarantee workforce stability as technology companies reshape themselves around the economics of artificial intelligence.

Source – https://www.peoplematters.in/news/strategic-hr/linkedin-cuts-606-jobs-weeks-after-reporting-12percent-revenue-growth-49833

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