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Stitch Fix to cut workforce by 15% of salaried roles

reuters.com · 06/09/2022 14:26
Stitch Fix to cut workforce by 15% of salaried roles

- Stitch Fix Inc SFIX said on Thursday it is reducing its workforce by around 15% of salaried positions, as the online personalized styling service firm aims to return to profitability.

Decades-high inflation and the impact of the war in Ukraine have pressured Corporate America to consider laying off people or put a freeze on hiring. nL4N2XQ0ZH

The layoff at Stitch Fix accounts for nearly 4% of the roles, or around 330 positions in total, with most of them in its non-technology corporate and styling leadership roles, Chief Executive Officer Elizabeth Spaulding said. nNDL8P9yZq

"(The decision) was one we needed to make to position ourselves for profitable growth ... There will be tough choices along the way, and this is one of those," Spaulding wrote in a message to Stitch Fix employees.

Shares in Stitch Fix were down nearly 11% in afternoon trading.

(Reporting by Praveen Paramasivam in Bengaluru; Editing by Krishna Chandra Eluri)

((Praveen.Paramasivam@thomsonreuters.com; https://twitter.com/PraveenR_P ; +91 867-525-3569;))