Yahoo said to cut about 1% of workforce in cost reduction

[SAN FRANCISCO] Yahoo! Inc. Chief Executive Officer Marissa Mayer is cutting about 1 per cent of the company's workforce as she looks to trim costs, according to a person familiar with the matter.

The reductions, which would be fewer than about 125 people, affect editorial staffing in Canada, among other areas, said the person, who asked not to be named because the matter is private. The Sunnyvale, California-based company had 12,500 employees at the end of the fourth quarter.

"We constantly make changes to better align our resources and investments with our strategic priorities," Yahoo said in a statement on Friday.

Mayer, more than two years into a turnaround effort, is seeking to streamline the company as she invests in areas that she hopes will grow quickly, including new advertising services for mobile. During a call with analysts last month, she noted that the size of Yahoo's workforce has been little changed in the past few years, even as she's added more than 1,000 employees.

"We have achieved the stability in headcount despite these additions through strong performance management, by reprioritizing resources, by sunsetting older products and businesses and by consolidating locations," she said on the call. "We will continue to seek and execute on efficiencies that we find on an ongoing basis."

Business Insider reported on the Yahoo job cuts on Thursday night.

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