eBay India lays off product team in Bengaluru: Is it Trump effect?
Newly-elect US president Donald Tump in his campaign had slammed US firms for outsourcing jobs to countries like India and China, and promised to bring back jobs, if elected to power.
On a day when the US elected Donald Trump as its president, US-based ecommerce giant eBay fired its product and tech team in India, except 15 who may be moving to the US.
These were staff working out of eBay’s development centre in Bangalore. As per various reports emerging, this recent layoffs concern 30% of eBay employees in India; and since they have 350 employees, it means that 100 employees were fired.
However, eBay hasn’t confirmed the number of employees who would be fired.
In India, eBay has two divisions: One in Mumbai, which manages the marketplace product and another one in Bengaluru, which has two sub-divisions: core product, & development and analytics.
According to reports, the analytics division hasn’t been changed, but the entire team of core product & development has been terminated. Reports are emerging that but for the 15 employees who would be relocated to US, the work of the rest of the development team has been re-assigned to another global location.
Although eBay claims it to be part of its global restructuring, there are theories that this could be Trump effect. Newly-elect US president Donald Tump in his campaign had slammed US firms for outsourcing jobs to countries like India and China, and promised to bring back jobs, if elected to power.
He had repeatedly remarked about how jobs were being taken up other countries. "“They are taking our jobs. China is taking our jobs. Japan is taking our jobs. India is taking our jobs. It is not going to happen anymore, folks!”
Trump told to thunderous applause from the audience: "Right now, 92 million Americans are on the sidelines, outside the workforce, and not part of our economy. It’s a silent nation of jobless Americans. Under this American System, every policy decision we make must pass a simple test: does it create more jobs and better wages for Americans?"
Considering Trump’s anti-immigrant push, it is interesting to note that even eBay was founded by an immigrant, the French-born entrepreneur Pierre Omidyar. A fact mentioned in a note sent by eBay CEO Devin Wenig to his global employees a day after Donald Trump’s surprise victory.
In the note, the CEO noted that employees of all backgrounds were critical to the success of a global company like eBay. “eBay was founded by an immigrant to the US. Pierre built our business on the belief that people are basically good, and this enduring heritage is one of the reasons I’m proud to lead this company.... This diversity is one of the most valuable assets we have as we drive our business forward,” he wrote.
In India, eBay has been relegated to the sidelines of online commerce with giants such as Amazon, Flipkart and Snapdeal controlling nearly 85% of the market.