eBay Faces Scrutiny Over Workforce Strategy Amid US Layoffs and H-1B Hiring Plans; Know Why
eBay faces scrutiny after disclosures revealed plans to lay off 639 US employees in 2026 while simultaneously seeking 429 H-1B visa hires. Critics argue domestic workers should be prioritised during layoffs, while the company maintains strong financial performance. The firm states these moves are part of strategic efforts to streamline operations and acquire specialised talent in high-demand fields.
E-commerce giant eBay is facing renewed public and industry scrutiny following disclosures that it plans to eliminate 639 positions across its United States operations in 2026, even as it continues to pursue hundreds of specialised foreign workers through the H-1B visa programme. Data compiled by workforce tracker Cutoffs.io reveals that the company submitted filings for 429 H-1B positions during the first half of the current fiscal year.
Parallel Workforce Trends and Scrutiny
The concurrent nature of these workforce adjustments has reignited a broader debate regarding how major technology firms manage human resources. According to the filings, eBay sought 360 H-1B applications in the second quarter of fiscal 2026 and 69 in the first. While the company is reducing its domestic headcount, it maintains that its underlying business performance remains robust. Demand for AI-Savvy Talent Surges Across Industries Despite Tech Layoffs as Hiring Trends Shift in 2026.
Chief Executive Officer Jamie Iannone recently noted that the firm’s first-quarter 2026 results exceeded expectations, largely due to momentum in marketplace operations and the integration of artificial intelligence tools. However, the lack of clarity regarding whether the roles being eliminated overlap with those being filled has intensified the debate. The data currently available does not establish a direct connection between the specific departments or job functions affected by the layoffs and the positions sought through the visa programme.
The situation has highlighted the ongoing tensions surrounding the H-1B visa programme, which allows US employers to recruit foreign professionals for specialised occupations. Critics argue that companies undergoing workforce reductions should prioritise the retention and hiring of domestic employees. Conversely, supporters of the programme maintain that such recruitment is essential for filling highly specialised roles where there are significant domestic talent shortages. Layoff Wave: Over 56,000 Tech Professionals in India Actively Seeking New Jobs as Talent Surplus Hits Strained Market.
This is not the first instance of major workforce restructuring at the company. In 2024, eBay eliminated approximately 1,000 positions, or roughly 9% of its total workforce, as part of a strategy to streamline operations and align costs with growth priorities. As technology firms continue to pivot toward AI and engineering, they are increasingly facing pressure to balance necessary cost-cutting measures with the acquisition of high-demand, specialised talent.
(The above story first appeared on LatestLY on Jun 18, 2026 10:47 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).
