Technology

59374 readers

3392 users here now

This is a most excellent place for technology news and articles.

Our Rules

Follow the lemmy.world rules.
Only tech related content.
Be excellent to each another!
Mod approved content bots can post up to 10 articles per day.
Threads asking for personal tech support may be deleted.
Politics threads may be removed.
No memes allowed as posts, OK to post as comments.
Only approved bots from the list below, to ask if your bot can be added please contact us.
Check for duplicates before posting, duplicates may be removed

Approved Bots

founded 1 year ago

MODERATORS

[email protected]

297

Wayfair lays off 13% of its workforce weeks after telling employees to work harder (www.cnn.com)

submitted 10 months ago by [email protected] to c/[email protected]

32 comments fedilink hide all child comments

Wayfair lays off 13% of its workforce weeks after telling employees to work harder::Wayfair is laying off 1,650 employees, amounting to 13% of its global workforce, as the online home goods retailer struggled to rebound following its success amid pandemic lockdowns.

you are viewing a single comment's thread
view the rest of the comments

[+] [email protected] -10 points 10 months ago (1 children)

I think I understand it well enough already.

I AM in favour of massive market reforms that removes definitely HFT and probably a lot of day trading too. I don’t think it benefits anyone - I know some traders argue it prevents inefficiencies in the market but I am convinced it does more harm than good. Minimum holding periods are fine by me. But you and I both know that some pension funds hold Wayfare - and pension funds will eventually trade, maybe on lower frequency, and make choices based on companies’ performance. Of course Wayfare has to keep their margins in that game.

[–] [email protected] 9 points 10 months ago

Wayfair has not been traded significantly by pension funds because it has not been a significant stock for long enough.

There may be some index linked investments which have pulled in Wayfair stock, but those will be treated as a whole and will be designed to be less risky.

It is a bad thing when stock value can be manipulated upwards by layoffs. It's usually a sign the company is doing worse than they expected, their growth has reached a limit, so logically their long term forecasts should decrease.

But the market recognises their short term balance sheet has just seen an improvement and the short term money moves in. Ready for the ultimate buy out of a company that's reached the peak of growth, so the main owners are ready to sell to a larger company.

Hopefully at an inflated market rate because short term decisions are being made to make the company look better to an algorithm.