California based Yahoo Inc has confirmed that it will be laying off large number of its staffs. Yahoo announced this morning that it will start process of letting employees about these changes. As part of that effort, estimated 2,000 people will be notified of job lay-offs or phased transition. Yahoo said that it can realize approximately $375 million in annualised savings through the terminations.
Moreover Yahoo currently expects to recognise the majority of an estimated $125 to $145 million pretax cash charge relating to employee severance in its second quarter financial results. Yahoo’s local business, marketing, and research divisions are also expected to be hit hard with layoffs. Things are certainly not looking good for employees at Yahoo this week.