Stitch Fix CEO Elizabeth Spaulding shared the below message with Stitch Fix employees earlier today.
Today, I’m writing to share the difficult news that we are reducing our workforce by approximately 15% of salaried positions. This represents approximately 4% of our roles, or around 330 positions, in total. Most of the reductions are in our non-technology corporate roles and styling leadership roles.
In light of our recent business momentum and an uncertain macroeconomic environment, we’ve taken a renewed look at our business and what is required to build our future. While this was an incredibly difficult decision, it was one we needed to make to position ourselves for profitable growth. We are in the midst of a transformation and we know not every day or every moment will be easy. There will be tough choices along the way, and this is one of those.
All those whose roles have been impacted have been notified as of this morning. I want to thank those team members with whom we are parting ways for everything they have done for Stitch Fix, and for our clients. Our priority right now is to support them through this transition in every way that we can. I am deeply grateful for all of their contributions, and know any company will be fortunate to have them on their teams.
While we are in a challenging period, we know what we need to do to return to profitable growth. Going forward, we will continue to innovate our client experience and broaden our offering, and invest strategically in both technology and product. We remain confident in our long-term strategy and vision, and are grateful for the hard work of our talented team members. I know we have what it takes to execute and deliver on the opportunity before us.
Your VPs will be hosting team meetings later this morning for continuing employees. Tomorrow (Friday), we will have a short All Hands, followed by individual org All Hands led by your MGMT member. Next week, we will have our June All Hands where we will take Q&A and talk more about our path forward.
Thank you all for your unwavering dedication to delivering for our clients, and working together to boldly create the future.