MySpace Cuts Staff In China
The American social networking website MySpace has cut two-thirds of its staff in China and several executives in the Chinese division have departed their positions.
According to reports in Chinese local media, the layoffs began last month and over 30 employees — two-thirds of total staff in MySpace.cn — were involved. In addition, MySpace.cn’s chief executive officer Wei Lai and operating vice president Lei Zhenjian have departed the company. Gao Qunyao, executive chairman for the board of directors, is now acting CEO.
A spokesperson for MySpace.cn has confirmed the layoffs, but declined to offer other details to local media. Commenting on the reasons for the layoff, MySpace.cn’s marketing director Luo Peng told local media that MySpace.cn is experiencing strategic adjustments and will coordinate more with its parent company MySpace.com in the future.
Prior to this, MySpace.com announced a large-scale layoff plan and said it will cut 550 global employees in January 2011, dismissing over 50% of its total employees. Myspace.com currently has 1,100 employees and the reason for the layoff is to control labor costs. Employees involved in the layoff are mainly from its U.S. office.