LivingSocial Slated to Lay Off 400
LivingSocial, the D.C.-based daily deals site, is reportedly preparing for major layoffs from its U.S. team.
The layoff shouldn’t come as much of a surprise following Amazon’s third quarter earnings report, which blamed its $169 million loss on its stake in LivingSocial. Amazon invested $175 million in the daily deal site two years ago.
Including Amazon’s funding, LivingSocial has raised more than $800 million. The company has a staff of more than 4,500, according to its website.
In July, LivingSocial was awarded a $32.5 million tax credit from the D.C. Council for promising to keep its headquarters in the nation’s capital. The company had planned to expand its 1,000 employee base in D.C. and more into a new 200,000 square foot headquarters.
Living Social declined to reply to Mashable‘s request for comment.