Automattic, the company behind WordPress.com, Tumblr, and WooCommerce, laid off approximately 281 employees, representing 16% of its workforce, on April 2, 2025. The company, which had about 1,744 employees prior to the cuts, cited the need to become more agile and responsive in a competitive and fast-evolving technology market. CEO Matt Mullenweg stated the restructuring aims to break down inefficiencies, focus on product quality, and ensure long-term financial viability. This move follows a tumultuous period for the company, including a controversial legal battle with hosting provider WP Engine. The layoffs affected staff across 90 countries, who were offered severance packages and job placement assistance.