Skip to content

Shopify Cuts Jobs Again, Sells Most of Logistics Business to Flexport

  • ‘Our numbers were unhealthy,’ CEO Lutke says in staff memo
  • Company expects up to $150 million in severance charges
Shopify headquarters in Ottawa

Shopify headquarters in Ottawa

Photographer: David Kawai/Bloomberg
Updated on

Shopify Inc. is cutting jobs for the second time in 10 months and selling the majority of its logistics business to Flexport Inc. to focus on its core e-commerce platform business. 

The moves mean the company will shrink by more than 2,000 people. “I don’t want to bury the lede: after today Shopify will be smaller by about 20% and Flexport will buy Shopify Logistics; this means some of you will leave Shopify today,” Chief Executive Officer Tobi Lütke said in a memo to staff. “I recognize the crushing impact this decision has on some of you, and did not make this decision lightly.”