ZipRecruiter Layoffs 2023 | How much did they cut jobs?
Is ZipRecruiter Layoff in 2023? Yes, the popular online hiring or job posting website decided to lay off 20 percent of its workforce. Moreover, the executive of ZipRecruiter has also taken a pay cut.
In February 2023, it was noted that the shares of ZipRecruiter suddenly dropped 19.4 percent in the fourth-quarter earnings after the market’s shutdown.
It has announced a second round of employee layoffs, a slow hiring process, and pay cuts… ZipRecruiter announced job and pay cuts for top executives to plunge costs.
Additionally, companies such as Fintech Unicorn planned to eliminate approximately 120 employees and announced job cuts. Another California-based company, Santa Monica, declared it is firing more than 200 of its employees by the end of June 2023. Most of the targeted workers are from the sales and customer support departments.
As we’ve already mentioned above, there is a pay cut also, and the company’s top executive earned 550,000 US dollars the previous year. Even the CEO got a 30 percent cut in his basic salary.
Rising interest rates, difficult energy rates, continuous high inflation that weighs on the economy, and increasing fear of a recession.
According to the U.S. Bureau of Labor Statistics, In January 2022, unemployment was 3.4 percent, the lowest unemployment rate in 54 years. Other companies are also there that report massive firing of employees.
Companies including Alphabet, Microsoft, Walt Disney, Goldman Sachs, Amazon, and hundreds of several companies are there that laid off hundreds or thousands of their employees.
ZipRecruiter could make the most of this time to help people and land a job, but it also faded.
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In Short:
- There is a sharp decline in the Fourth quarter earnings of ZipRecruiter, which impacts the overall revenue in 2023.
- Additionally, ZipRecruiter stated the job market is going down, so the companies decided to cut jobs and their recruiting budgets.
Who Is ZipRecruiter Owned By?
Ian Seigel is the co-founder and CEO of ZipRecruiter. It is an online hiring platform or an American employment marketplace. It was founded by Ian Siegel, Ward Poulos, Will Redd, and Joe Edmonds in 2010.
It is one of the best platforms for employers and job seekers. ZipRecruiter has offices in Tempe, AZ, UK, London, and Tel Aviv, Israel. It is mainly located in Santa Monica, California.
ZipRecruiter is the workplace for thousands of employees.
ZipRecruiter Financial Statements
Let’s look at the Financial Statements of ZipRecruiter from 2019 to 2023.
Here we have mentioned that the annual data of ZipRecruiter’s financial statements would be in millions of dollars every year.
ANNUAL DATA 2019 2020 2021 2022
REVENUE: $429.559 $418.142 $741.141 $904.649
COST OF GOODS SOLD: $54.778 $54.163 $79.614 $86.298
GROSS PROFIT: $374.781 $363.979 $661.527 $818.351
NET INCOME: $-10.071 $63,017 $1.952 $61.494
Research and Development
Expenses: $65.41 $69.408 $110.47 $127.737
SG&A Expenses: $315.68 $230.139 $559.449 $593.386
Other Operating Income: – – – –
OPERATING EXPENSES: $381.099 $299.547 $669.919 $721.123
OPERATING INCOME: $-6.318 $64.432 $-8.392 $97.228
Total Non-Operating Income: $0.557 $-0.095 $-0.884 $-23.144
PRE-TAX INCOME: $-5.761 $64.337 $9.276 $74. 084
INCOME TAXES: $0.588 $-21.711 $-12.876 $12.59
INCOME AFTER TAXES: $-6.349 $86.048 $3.6 $61.494
OTHER INCOME: – – – –
CONTINUOUS OPERATIONS: $-6.349 $86.048 $3.6 $61.494
DISCONTINUED OPERATIONS: – – – –
EBITDA: $2.626 $74.381 $1.071 $107.91
EBIT: $-6.318 $64.432 $-8.392 $97.228
BASIC SHARES OUTSTANDING: $79 $80 $102 $114
SHARES OUTSTANDING: $79 $94 $115 $121
BASIC EPS: $-0.13 $0.79 $0.02 $0.54
EPS – EARNINGS PER SHARE: $-0.13 $0.70 $0.02 $0.51
How Does ZipRecruiter Work For Employees?
ZipRecruiter has the main objective that it helps job seekers to navigate towards the right path by building up a good relationship between job seekers and employers with great opportunities.
It drives job seekers to the position to fulfill the company’s hiring needs. The marketplace helps them in terms of job search processes, labor market trends, and interviewing trends.
ZipRecruiter works similarly to Indeed and LinkedIn for its employees. Below we’ve mentioned the steps of “How does ZipRecruiter work for employees?”
- Want to post a job? Then post it to top-visited websites such as Google and several more with a single click.
- It also offers strong matching technology scans to get matched immediately.
- You can invite by applying.
- Once you are done with your job postings, then you will be able to receive great candidates.
- Now, start up your hiring procedure and repeat it.
Is ZipRecruiter Safe?
Yes, ZipRecruiter is safe and secure as it is the one-stop shop for those who want to post a job for employees.
You can also post jobs through ZipRecruiter, which allows you to post jobs on more than 100 official websites such as Google, Salary.com, Nuevco, etc., social networks, and the top visited job boards.
It is the platform through which one can get a job, and this type of online exposure brings job seekers to a position that helps fulfill their job needs quickly.
What Recent Survey Says – On ZipRecruiter Layoffs?
Recently, it is believed that the recent survey reported that:
More than half of the employees were caught off guard
Reports say many workers were laid off without any prior warning signs. In the end, they were shocked when they found out that they had been laid off.
Those in the automotive industry, insurance, and transportation were supposed to have been caught off guard.
For some employees, the layoffs were announced early
During the Coronavirus pandemic, almost every company shut down its doors worldwide, allowing employees to work away from offices.
While many workforces were laid off via video conference and phone calls. Again in the second round of layoffs, the companies made announcements both in person and virtually, due to which most workers think layoffs were handled well.
Some workers were laid off and got severance pay
It was observed that recently laid-off workers, i.e., 1 out of 3, got severance pay. On the other hand, some of those received 4 months’ worth of pay, on average.
Workers who are laid off are now switching their careers & fields
Those laid off and seeking new jobs have switched industries and careers. Those who have yet to change their occupation and are still unemployed are looking to change fields as soon as possible.
Laid-off workers are getting higher pay
In this employment marathon, some are still looking for a job while others have already started new ones. Less than half (42 percent) of the workers have found jobs and are getting higher pay than their previous jobs.
While some are getting the same pay and some are getting less than their old jobs. For those getting higher pay, their average increment was about 23 percent.
To secure at least one job, most fired workers choose multiple jobs to get more options while choosing job offers.
Forecast Of ZipRecruiter For 2023
The Online Hiring Platform ZipRecruiter has a cloudy forecast for 2023.
People want jobs, and the increasing demand for jobs and the deteriorating situation of the ZipRecruiter created a stressful condition. Economists are now going towards the Federal Reserve to maintain an aggressive interest rate policy.
This data reveals that 2023 is gloomy for ZipRecruiter as the revenue fell 23 percent to 179 million U.S. dollars in the mid. It indicates, “the full year 2023 is having a continuous softening in the hiring environment.”
Due to this, ZipRecruiter laid off employees in large numbers or plunged their recruiting budget. It indicated that this is a hard time for the job search site.
ZipRecruiter is going to be in bad shape for the rest of the year or more years to come for the ZipRecruiter.
Stock Advisor, an online investing platform in terms of the stock market. Since 2002 it has come to the top by beating the stock market by 3x. According to Stock Advisor, it is believed that ZipRecruiter is falling down.
If you are one of those investors seeking to buy stocks right now, you must consider stocks other than ZipRecruiter.
According to the Stock Advisor analyst team, it is now disclosed that the other 10 best stocks to buy are far better than ZipRecruiter. These are as follows:
- Alphabet Inc.
- Amazon.com Inc.
- The Boeing Company
- Palo Alto Networks, Inc.
- Costco Wholesale Corporation
- Medifast Inc.
- UGI Corp
- Johnson & Johnson
- Exxon Mobil
- EOG Resources
ZipRecruiter Layoffs – Summing Up
This job posting online platform, ZipRecruiter, alerted job seekers and employers that they need help to adjust to this environment with the shakier economy.
ZipRecruiter stated, “We are in bad shape and decided to make this move in response to the present market situation and after cutting down all the extra expenses to drive efficiency for the long run.”
ZipRecruiter decided to record the pretax charge in the current quarter for the betterment.
It expects to charge 7 to 9 U.S. dollars for severance and other layoff benefit costs. When the company announced this, the shares increased by 1.3 percent every hour.
Along with ZipRecruiter and other companies, Edtech Unicorn planned to cut jobs and fired approximately 172 workforces.
Tags: 20% ZipRecruiter Layoffs, ZipRecruiter Layoffs 20%