After only 1,100 employees (it originally asked for 2,500 in November) voluntarily took an early severance package from the company as part of its $200 million restructuring effort, AOL's new CEO Tim Armstrong is keeping to his promise to enact involuntary job cuts.
As part of the latest round of cuts, AOL spokeswoman said in a Bloomberg article that the company shut down offices in Spain and Sweden, while the affected U.S. employees will officially leave the company this Wednesday, Jan. 13.
These latest cuts follow the Internet and media provider's announcement in November that it would reduce its 7,000-employees by almost one-third to shed $300 million from its annual operating costs. What's driving AOL-a name once synonymous with dial-up Internet access--is a 50 percent decrease in Q3 operating income as the result of slowing advertising sales.
For more:
- Bloomberg has this article
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