Digital marketing agency iCrossing laid off a number of people last week.
This is no surprise as iCrossing recently acquired Spannerworks, Sharp Analytics and NewGate and therefore has grown its employee base by 300 people in less than half a year. This explains the need for a restructure.
“Rumor has it that the new chief financial officer, Michael Jackson, is not driving continued growth, but cutting the fat based on profitability of offices and accounts,” writes Searcharazzi in a blog post on SearchEngineLand.com. “As of this morning, 20 to 30 employees have been cut from the Scottsdale headquarters and the New York office. Atlanta is also rumored to get cut down to 4 people. Some accounts suggest that when all is said and done, roughly 60 people will be left in the wake,” the post said.
ICrossing released a statement on the speculations.
“The past year has been one of strong growth, with significant investments being made on acquisitions,” the company said. “Although letting people go is always difficult, we are consolidating our workforce to increase our operational efficiencies, better serve our clients and position the company for continued growth.”
Search Engine Land also said that iCrossing insiders report that Agency.com hires brought on by Don Scales have been spared from the cut.
There is speculation that the cuts are a fast way to free up funds for a new acquisition or simply a means of cleaning up after numerous acquisitions.
