Marchex latest domain company to announce layoffs.
Domain name and local advertising company Marchex (NASDAQ: MCHX) has laid off 10% of its workforce, reports The Pugent Sound Business Journal. About 35 people are losing their jobs, although some of those are contract workers.
Marchex has made a series of acquisitions, so some of the jobs were redundant. But it’s also working to maintain a strong cash position in the 12-month old recession.
Shares of Marchex closed down at $5.39 on Thursday, down sharply from a 52 week high of $14.15.
Marchex joins other domain name companies announcing layoffs:
*NameMedia has not directly confirmed layoffs. Multiple sources confirmed that the company did a round of layoffs.
Compared to other industries, these layoffs are small. I wouldn’t be surprised to see deeper cuts in the future, but a 10% layoff is not significant. Some companies fire their bottom 10% of employees each year.
If you’ve heard of other domain companies laying off employees or cutting back, please leave a comment.