Yahoo is axing hundreds of jobs at one of its largest engineering hubs outside the United States under plans that will see jobs moved to its US HQ in Sunnyvale, California.
The company’s operation in Bangalore, India will be where up to 400 jobs will be lost and Bloomberg reports that almost 40 per cent of the employees are to be offered permanent positions in the US.
“We’re making some changes to the way we operate in Bangalore leading to consolidation of certain teams into fewer offices. Yahoo will continue to have a presence in India and Bangalore remains an important office,” the company said in an emailed statement.
Yahoo’s move won’t affect all employees as around 1,100 people work at the Bangalore plant and the workers losing jobs represent around three per cent of its global workforce that stands at well over 10,000.
A separate report from Quartz states that under five per cent of the engineers at the plant are being offered jobs over in the US and most are being let go with a redundancy package that stretches to five months of pay.
Yahoo plans to carry out the process in phases and it will be completed by December, a company executive who wished to remain anonymous told Quartz.
It’s all part of CEO Marissa Mayer’s grand plan to gather teams in one place in order to improve the products being offered by Yahoo and moving certain members of the Bangalore operation to the US would make sense in this regard.
The company last cut a swathe through its staff back in 2012 when 2,000 jobs, or 14 per cent, of the company’s entire workforce was handed a P45 to save $375 million [£233 million] and that itself followed a 560 employee cut in December 2010.
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