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TikTok Shop Layoffs Expected as Employees Told to Work From Home: Report

  • TikTok notified its US e-commerce staff, based mostly in Seattle, to work from home beginning May 21, 2025, amid restructuring plans.
  • This decision comes amid recent changes in leadership and increasing regulatory challenges, including a 2024 legislative requirement for TikTok to sell off its US business or risk being prohibited from operating in the country.
  • The internal memo from new US e-commerce head Mu Qing indicated layoffs targeting the US operations center and global key accounts teams.
  • Mu Qing explained that following the restructuring, the teams are expected to increase their speed, streamline their operations, and improve overall efficiency to support a more effective operating model amid efforts to reduce costs.
  • These changes reflect TikTok’s broader cost-saving push amid slumping US sales, tariffs, and ongoing political and economic uncertainty about its future in the US market.
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Bloomberg broke the news in United States on Wednesday, May 21, 2025.
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