Shopify announced today that it’s laying off a fifth of its workforce, impacting more than 2,000 employees. 

The company did not specify which areas of the business would be affected, however, the layoffs are expected to impact all divisions. Last year, Shopify laid off more than 1,000 employees, accounting for a tenth of its staff.

📦 Logistics Shift

The company is also selling its logistics business to Flexport, which will now serve as its preferred logistics partner. Shopify has also sold its warehouse fulfillment company, 6 River Systems.

These changes come as the e-commerce giant released its first quarter results, which showed a 25% increase in revenue to $1.5 billion compared to the previous year. Looking ahead, Shopify expects revenue to continue growing at a similar rate in the second quarter of 2023 on a year-over-year basis.

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