Type
Internal restructuring
Country
World
Region
Location of affected unit(s)
Ireland, United States, other locations
Sector
Information / Computing
Computing infrastructure, data processing, hosting and other information service activities
Computing infrastructure, data processing, hosting and other information service activities
63 - Computing infrastructure, data processing, hosting and other information service activities

280 jobs
Number of planned job losses
Job loss
Announcement Date
3 April 2025
Employment effect (start)
3 April 2025
Foreseen end date
10 June 2025

Description

American technology company Automattic, has announced a global restructuring involving the dismissal of approximately 280 employees, representing 16% of its workforce across 90 countries.

The programme will affect all divisions and geographies. So far, the sources indicate that the layoffs will affect employees in Ireland (4 out 21 people lost their jobs) and the US. The layoffs affect multiple divisions, including WooCommerce, Tumblr, and AI-focused teams, with roles in sales, marketing, product management, design, and business operations particularly impacted. The restructuring is not being negotiated with employee representatives. Automattic offers nine weeks of severance, laptop retention, and job placement support.

The decision aims to improve productivity, profitability, and agility amid a highly competitive tech market and follows a challenging year marked by legal disputes and internal tensions.

Founded in 2005, Automattic, best known as the creator of WordPress, Tumblr and WooCommerce, operates a remote-first model and manages a portfolio of digital tools and services. The company operates with a fully remote workforce, employing over 1,770 employees in 90 countries.


Sources

Citation

Eurofound (2025), Automattic, Internal restructuring in World, factsheet number 202679, European Restructuring Monitor. Dublin, https://dev.eurofound.europa.eu/restructuring-events/detail/202679.