Upwork Announces 24% Workforce Reduction for Restructuring
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 3 days ago
0mins
Should l Buy UPWK?
Upwork announced a restructuring plan that includes a reduction of the company's total workforce by approximately 24%. Upwork is taking these actions to build a more efficient operating model and position the company for profitable growth as the nature of work evolves. The company expects execution of the restructuring plan to be substantially complete in Q4 of 2026. In connection with these actions, the company estimates that it will incur approximately $16M-$23M in pre-tax restructuring charges to its GAAP financial results, consisting primarily of severance and other one-time termination costs for the company's impacted workforce. Upwork expects most of these charges to be cash expenditures and to be recognized over the next two to three quarters, with the majority of these charges being recognized in Q2 of 2026.
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Analyst Views on UPWK
Wall Street analysts forecast UPWK stock price to rise
11 Analyst Rating
7 Buy
4 Hold
0 Sell
Moderate Buy
Current: 10.610
Low
15.00
Averages
22.10
High
27.00
Current: 10.610
Low
15.00
Averages
22.10
High
27.00
About UPWK
Upwork Inc. operates a working marketplace, which connects businesses with independent talent. The Company's independent talent refers to the talent that includes independent professionals and agencies of varying sizes. The Company’s marketplace offerings are designed for clients looking to identify hiring. Its marketplace offerings provide clients with access to independent talent with verified work history and client feedback from the marketplace platform. They also receive perks, such as a verified client badge and highlighted job posts. Upwork Payroll is available to clients when they choose to work with talent that they engage through Upwork as employees. With Upwork Payroll, clients have access to third-party staffing providers to employ talent and meet their talent needs through its work marketplace. It offers two lines of service: managed services and enterprise solutions. Its managed services offer a service-led program management and end-to-end project delivery solution.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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See More
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