Despite an increase in profits, American Express plans on laying off 4,000 people and eBay will give the pink-slip to 2 400 people, according to CNN Money. The layoffs are said to be a direct result of shareholder pressure to increase revenue even more, according to Mike Santoli, a senior finance columnist at Yahoo.
Representatives at American Express say eliminating 4,000 positions will save them $800 million, according to USA Today. This comes after an announcement three months ago saying the company would cut 7,000 jobs, saving $1.8 billion.
For eBay’s part, the company is simultaneously cutting 7 percent of its workforce while spinning off PayPal as a separate company. “This is the best path for delivering sustainable shareholder value,” an eBay representative says in a press release about the split.
The lay-offs for both companies are said to take place before April.