In order to integrate the Huffington Post into the AOL family, the company will be eliminating 900 jobs as they restructure the blog to try to return to revenue growth.
AOL's U.S., Chief Executive Officer Tim Armstrong wrote in a memo to employees on Thursday that the company will cut as many as 700 jobs in India and 200 in the U.S.
At the Bloomberg Media Summit in New York, Armstrong said:
“The changes for me today are very personal. AOL employees deserve a tremendous amount of credit because I don’t think it’s easy to go from managing decline to managing growth."
That should ease the pain.
Despite the cuts and the declining revenue even before purchasing the Huffington Post for $315 million, the executive maintains the company is focusing on growth, saying:
“Our strategy remains clear: create high quality content experiences for consumers, at scale. Today, we are announcing an organizational structure that will significantly improve AOL’s ability to focus on growth.”
“AOL will turn around," he added. "I have no doubt about that.”
For the 5,860 employees sake, we hope he's right.
Do U think AOL will turn around with the acquisition of the Huffington Post or continue to decline?
[Image via WENN.]