Wayfair founder Niraj Shah takes a selfie with state Sen. Smitty Pignatelli, left, and Congressman Richie Neal at the call center's opening in 2019.
PITTSFIELD, Mass. — Wayfair opened a $5 million call center in the Clock Tower Building three years ago with plans to bring 300 jobs to the city.
It was a pledge by Chairman and CEO Niraj Shah, a Pittsfield High graduate, to ensure his hometown benefited from his burgeoning home goods business.
Now the company is planning to close that center by July and shift its 40-person staff to virtual work.
Wayfair announced last Friday plans to layoff upwards of 1,750 employees, following 900 let go in August. The restructuring is expected to save the company more than $1.4 billion, some $750 million from reducing its global labor force by more than 10 percent of its 17,000 employees reported in August.
"Although difficult, these are important decisions to get back to our 20-year roots as a focused, lean company premised on high ambitions and great execution," said Shah in statement about the reductions. "The changes announced today strengthen our future without reducing our total addressable market, our strategic objectives, or our ability to deliver them over time.
"In hindsight, similar to our technology peers, we scaled our spend too quickly over the last few years. The good news for Wayfair is that we have operated in a highly productive and efficient way for the vast majority of our 20-year history, and we are now simply returning to that."
The company reported a 9 percent decrease year over year in total revenues for the third quarter and a net loss of s $283 million.
Susan Frechette, Wayfair's director of communications, confirmed that the company would be not be renewing its lease for the two-story Clock Tower space.
"Like many companies, we have seen an increase in employees effectively transitioning to remote work, driven in part by the COVID-19 global pandemic and cost savings efforts," she wrote. "Moving our customer service team to a virtual working model continues to allow us to best serve our customers while supporting cost saving efforts for the business."
Frechette said the company remains committed to Pittsfield and will continue to provide support to its employees in the region.
The opening of the call center was considered a major coup for the city and numerous public officials — including then Gov. Charlie Baker and Lt. Gov. Karyn Polito, and U.S. Rep. Richie Neal — attended the ribbon cutting.
If you would like to contribute information on this article, contact us at info@iberkshires.com.
Your Comments
iBerkshires.com welcomes critical, respectful dialogue. Name-calling, personal attacks, libel, slander or foul language is not allowed. All comments are reviewed before posting and will be deleted or edited as necessary.
Like Bed Bath and Beyond, Wayfair cannot compete with Amazon. Anything you can buy from Wayfair, you can probably get cheaper at Amazon. Also, Wayfair touts free shipping, but if you need to return something, you pay a fortune to ship it back. These are the reasons I stopped buying from Wayfair.
LANESBOROUGH, Mass. — Town meeting on Tuesday approved an almost $14 million fiscal 2027 budget, and approved bylaws for short-term rentals and signage, and for public safety vehicles.
Of the 20 warrant articles, one, Article 7, to use free cash to pay prior fiscal year bills of $941.27 was indefinitely postponed by Moderator David Rolle because the bills were for the fire association.
Some 247 of the town's more than 2,600 registered voters filled Lanesborough Elementary School, debating articles during a meeting that lasted more than three hours.
The town's 2027 spending plan is up more than 10 percent, with the main increases from higher enrollment in the regional schools and the McCann Technical School renovation project.
Voters approved the assessment of $7,586,284 for Mount Greylock Regional School. They also approved Article 11, which was the use of $16,298.48 in free cash for the McCann's roof and window replacement project so as not to impact the budget.
Ambulance Director Jen Weber is planning 24-hour coverage, which means more staff and a hike in her budget. Article 5 asked the town to appropriate $234,100 to operate the Ambulance Enterprise Fund for salaries and expenses, which passed.
Fire Chief Jeff DeChaine spoke to the audience on his articles and the need for a new truck to replace the 1996 fire truck, listed on the warrant articles for a total $813,366, which includes a $100,000 contingency cost on whether a 2026 model-year chassis can be secured before new emissions standards in 2027. If they get the 2026 chassis, that contingency likely won't be needed.
Town meeting on Tuesday approved an almost $14 million fiscal 2027 budget, and approved bylaws for short-term rentals and signage, and for public safety vehicles.
click for more
On Tuesday, the School Building Needs Commission heard an update from the owner's project manager, Skanska, and endorsed a draft schedule that runs from 2026 to 2032.
click for more
Late last month, the Conservation Commission greenlit some tree pruning on the property. New windows and a new door can be seen in the front of the building.
click for more
As the school year winds down, the sun was shining high as Morris Elementary School and the community celebrated student success with a splash. click for more
The Berkshire Community College community celebrated outgoing President Ellen Kennedy for the innovation, kindness, and curiosity she has fostered on campus over the last 14 years. click for more