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More Layoffs Hit Groupon’s Restaurant Software Unit

Groupon says it has sacked about one third of the staff at Breadcrumb.

Posted on March 8, 2016, at 8:36 p.m. ET

Breadcrumb, a restaurant software company owned by Groupon, has laid off about 25 employees (or close to one third of its entire staff). Groupon confirmed the cuts to BuzzFeed News.

These layoffs follow another round of cuts from last August which saw Groupon eliminate 20 positions. Breadcrumb had about 100 employees at the time of the first reduction, which means its staff has been almost halved in well under a year.

Sources at Breadcrumb tell BuzzFeed News that the most recent cuts are the first step in a sunsetting process that will likely entail more layoffs. But Groupon contends that its restaurant software business isn't going anywhere.

"Categorically: Breadcrumb isn't shutting down or going out of business," Groupon spokesperson Bill Roberts told BuzzFeed News. "For the great merchants on our platform, absolutely nothing changes."

Asked how the company will continue to operate after cutting so many employees, Roberts replied: "None of the Breadcrumb engineering team was affected, so we expect absolutely no impact on the product or service."

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