Expedia Group lays off 3,000 workers in bid to cut 'bloated' company costs

Feb. 25 (UPI) -- Online travel service Expedia Group will cut 3,000 jobs, or about 12 percent of its direct workforce, after registering "disappointing" fourth quarter results, the company announced.

The layoff plans were first revealed in an internal company email obtained by technology news website Geekwire, then confirmed by a company statement.

"Today, Expedia Group announced our intent to simplify how we do business," company spokesman Josh deBerge said in the statement. "This includes stopping certain projects and activities, reducing use of vendors and contractors and eliminating approximately 12 percent of our direct workforce."

The move comes after company chairman Barry Diller criticized Expedia as "sclerotic and bloated" during an earnings call following a "disappointing" fourth-quarter performance, promising $300 million to $500 million of cost savings across its business.

The program includes emphasizing Expedia's core air travel booking business while pruning other units, such as its home rental platform Vrbo.

Diller has been running the company on a day-to-day basis since December when former CEO Mark Okerstrom and CFO Alan Pickerill stepped down over "strategy disagreements" with the board.

Expedia is the home of some of the best-known travel websites on the Internet, including Orbitz, Hotwire, Trivago, Travelocity and Hotels.com.