November’s supposed to be a happy time for retailers, an opportunity to separate Americans dazed by tryptophan from their hard-earned dollars with a blitz of red-and-green advertising. But we’re guessing the offices of Fab.com are pretty light on holiday spirit these days. According to AllThingsD, the company is planning still more layoffs.
That would be the third round of cuts this year. Hasn’t anyone ever told CEO Jason Goldberg about the old bandaid-ripping trick?
According to AllThingsD, at least 50 employees are likely to get the ax, “across all levels of its New York headquarters.” (There’s 150 to 200 people working there currently.) They’ll be notified Friday, though they’ll get to stay for another three months. Cuts at the company’s European outpost may be coming, as well.
A Fab spokesperson wouldn’t really confirm or deny:
“With regards to the rumors, it is accurate that Fab is undergoing management changes as we realign the business to execute on our 2014-2017 plan. There will be a number of management changes involved as we streamline the organization and move to a category P&L based structure. As not all of the organizational changes are final yet, we are withholding comment on any specific individuals until later this week.”
AllThingsD also got a little more gossip out of sources about cofounder Bradford Shellhammer’s departure:
“Sources said that Goldberg had spoken to Shellhammer about scaling back his duties, which had included managing merchandising operations, to focus exclusively on choosing products to sell on Fab. Shellhammer is said to have initially agreed to this plan, but then decided shortly thereafter to leave the company instead.”
Guess he’s getting the last laugh; his Instagram suggests he’s currently working on his tan in Maui, far from the carnage.
And of course earlier this week, news broke that COO Beth Ferreira is bailing within the next two months. Plus Business Insider says the site’s traffic has tanked. Sounds like it’s going to be a pretty blue Christmas.
Got any dish? Can Fab pull this off, or is the company headed into a death spiral? We’re listening: email@example.com