It has been a tough year, to say the least, for employees in the tech industry and the American speaker manufacturer, Sonos, is now the latest to reduce its workforce. In total, nearly 130 people are being forced to leave their jobs as Sonos cuts back, hoping to reduce the number of office buildings in the coming months.
The company's CEO Patrick Spence commented on the cuts in a statement (thanks, The Verge) and had the following to say:
"We have acknowledged that if we started to deviate from our performance expectations, we would take action to adapt and protect profitability while still investing in our exciting product roadmap to drive future growth".
"In the face of continued headwinds, we have had to make some hard choices, including eliminating some positions and reevaluating program spend."
"Right now, our number one priority is providing our departing teammates a respectful and compassionate transition and have focused on providing resources to support our employees financially, mentally, and professionally as they navigate what comes next".
This is the first time in three years that Sonos has made significant layoffs, as it did when the pandemic spread around the world, when it was forced to lay off 12% of its workforce.
It is also worth noting how the otherwise popular brand is currently experiencing unusually slow growth, with sales figures falling far below expectations and a falling share value. In the last three years alone, Sonos' revenue has decreased by almost 24%, a considerable amount to say the least.
What do you think are the reasons why Sonos is currently struggling?