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Exclusive: Stitch Fix shares sink as company lays off 15% of its salaried employees

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Stitch Fix shares sink as company lays off 15% of its salaried employees

#Stitch #Fix #shares #sink #company #lays #salaried #employees

The Stitch Fix logo on a smartphone arranged in Hastings-on-Hudson, New York, U.S., on Saturday, June 5, 2021. Stitch Fix Inc. is scheduled to release earning on June 7.

Tiffany Hagler-Geard | Bloomberg | Getty Images

Stitch Fix is laying off 15% of salaried positions within its workforce, mostly in corporate roles and styling leadership positions, according to an internal memo that was seen by CNBC.

Shares of the company fell about 8% Thursday, to trade around $7.97. Shares traded as high as $68.15 a year ago.

The job cuts come as the online styling service has been grappling with higher expenses on everything from its supply chain to marketing to labor, and it has also been struggling to onboard new users.

“We’ve taken a renewed look at our business and what is required to build our future,” Stitch Fix CEO Elizabeth Spaulding said in the memo. “While this was an incredibly difficult decision, it was one needed to make to position ourselves for profitable growth.”

The roughly 330 people were notified of the cuts on Thursday morning, the memo said. That number represents about 4% of the company’s overall workforce.

The cutbacks at Stitch Fix fit into a broader trend shaping up within the U.S. labor market, as pandemic darlings such as Peloton, Netflix and Wayfair become more conservative with their hiring, but airlines, restaurants and hospitality chains still struggle to fill roles.

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The layoffs come three months after Stitch Fix cut its revenue guidance for the year and withdrew its earnings forecast. Spaulding said the company’s active client count was not where she wanted it to be. As of Jan. 29, Stitch Fix counted roughly 4 million active customers.

Stitch Fix’s business is entirely online and that was seen as a bright spot during earlier stages of the Covid pandemic, as spending shifted online. More recently, its rollout of a direct-buy option known as Freestyle didn’t go as well as the company had hoped for. And more and more shoppers are shifting back to spending their money in stores as pandemic restrictions lift.

Stitch Fix is set to report fiscal second-quarter results after the market close.

Its market cap has fallen below $1 billion, as the stock has declined about 55% this year.

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Exclusive: U.S. flight disruptions finally ease as the holiday weekend winds down – TalkOfNews.com

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U.S. flight disruptions finally ease as the holiday weekend winds down

#flight #disruptions #finally #ease #holiday #weekend #winds

Lighted tunnel in the United Airlines terminal, O’Hare International Airport, Chicago Illinois.

Andrew Woodley | Universal Images Group via Getty Images

U.S. airline delays eased on Monday as weather improved, a relief for travelers and airlines as the July Fourth holiday weekend comes to an end.

As of Monday afternoon, about 1,200 U.S. flights were delayed and 183 were canceled, down from nearly 4,700 delays and more than 300 cancellations a day earlier, according to flight-tracking site FlightAware.

This year through July 3, 2.8% of the more than 4.1 million flights scheduled by U.S. airlines were canceled, up from 2.1% of the more than 4.74 million flights scheduled in the same period, according to FlightAware. And so far this year, 20.2% of flights were delayed, up from 16.7%.

about a fifth of U.S. airlines’ flights were delayed and 2.8% canceled, up from 2.1% canceled over the same period of 2019.

The weekend was key for airlines as executives expected a surge of travelers after more than two years of the Covid-19 pandemic. Passengers shelled out more for tickets as fares surpassed 2019 levels.

Industry staffing shortages, many the result of buyouts that airlines urged workers to take during the pandemic, have exacerbated routine challenges like bad weather.

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U.S. airline executives will begin detailing their summer performances and providing updated outlooks for the year in quarterly reports starting midmonth. A big question is what happens after the summer-travel peak fades, as many children in the U.S. go back to school in August.

Airlines spent the last few weeks focusing on limiting summer travel disruptions. Delta Air Lines, JetBlue Airways, Southwest Airlines, United Airlines and others have trimmed their schedules to give themselves more room to recover when things go wrong, such as when thunderstorms hit major airline hubs over the weekend.

Airlines and federal transportation officials have pointed fingers at one another in recent days over the cause of the flight disruptions. Airlines blamed air traffic control for lengthy delays, while the FAA and Transportation Secretary Pete Buttigieg lashed out at airlines for letting go of workers during the pandemic, despite billions in federal aid.

Buttigieg on Saturday said one of his own flights was canceled.

“The complexity of modern aviation requires everything to work in concert,” said Matt Colbert, who previously managed operations and strategies at several U.S. carriers and is the founder of consulting firm Empire Aviation Services.

Delta took the unusual step of allowing travelers to change their flights outside of the peak July 1-4 period if they can fly though July 8, without paying a difference in fare, in hopes customers could avoid some of the disruptions on the busiest days. Envoy Air, a regional carrier owned by American Airlines, offered pilots triple pay to pick up extra shifts in July, CNBC reported last month.

“Bring patience,” Colbert said. “The people working on the other side of the counter are frustrated, too.”

European travel has become chaotic with passengers at some of the biggest hubs facing long lines and baggage delays as the industry faces staffing issues and a surge in demand.

Scandinavian airline SAS on Monday said it would be forced to cancel half of its flights after pay talks with pilots’ union representatives broke down, setting off a strike. Meanwhile, the chief operating officer of low-cost airline easyJet resigned after recent waves of flight cancellations.

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Exclusive: Workplace Learning Is Broken. These 5 Steps Tell You How to Fix It. – TalkOfNews.com

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Workplace Learning Is Broken. These 5 Steps Tell You How to Fix It.

#Workplace #Learning #Broken #Steps #Fix

Opinions expressed by Entrepreneur contributors are their own.

Learning at work is broken. Across the U.S., hundreds of billions of dollars are spent each year on employee training — and most of it is a waste.

A study conducted by the Harvard Business Review reported that 70% of employees claim they don’t have mastery of the skills needed to do their jobs; only 25% believe training measurably improves performance; and only 12% apply new skills learned in learning and development programs to their jobs.

But the fact remains: Employees need on-job learning to be successful at work. So what is the best way to improve the situation? The first step to fixing the problem is to understand why it exists in the first place.

Related: 4 Reasons for Low Training Participation (and How to Change it)

How we learn at work today

Today, when employees go through training, this often looks like long, exhaustive seminars, multiple videos or required readings. Many times, this content becomes outdated quickly and is not frequently updated.

But how we actually learn is closer to the concept of information foraging. According to this model, people will calculate the likelihood that a source will give them the answer they are looking for against the time cost it will take them to get the answer from that source.

So when your employees need to recall something that was presented to them in training, is it more likely that they will seek out the recording of that training session or video? Or is it more likely that they’ll go directly to someone who can answer their question quickly?

Employees quickly forget what they learn

One of the primary reasons that traditional training isn’t working is called “the Forgetting Curve.” In the late 19th century, German psychologist Hermann Ebbinghaus conducted experiments on memory. His findings illuminated how quickly the brain loses new information along with a visual representation of the way learning fades over time — the Forgetting Curve.

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Essentially, once we learn something, there is a steep dropoff in retention if we don’t reinforce what we have learned. Most of us can relate if we’ve ever sat through a long presentation or LMS course only to find that we remember little of it later that day.

We know from research that we need to reinforce learning regularly to keep from losing knowledge. But what does this reinforcement look like for an organization that is trying to arm its employees with knowledge that will help them to be successful in their jobs?

It’s different in every situation, but there are steps we can universally take to improve the learning experience at work. Most people prefer to learn by doing, and the best time to learn this information is when it is actually relevant and needed. Once we can connect learning with a real-world situation, it becomes easier to absorb.

Related: 3 Ways to Make Corporate Training Fun

5 steps to improve learning at work

The biggest takeaway from research on how we learn as adults is that information needs to be presented that is relevant when it is needed, and in digestible or “snackable” pieces. This is where “just-in-time learning” comes into play.

Just-in-time learning aims to deliver consumable pieces of information at the time your employee needs to use it — remember, adults prefer to learn by doing. And because we are all struggling with selective attention, we need to deliver that information in a way that is not overwhelming.

Let’s review five steps that can help make learning at work successful.

  1. Make training relevant and timely. Your employees want to learn information that will actually help them. Focus on how the information will benefit them and be more successful in their jobs. Why is this worth their precious time? Rather than bombarding your new hires with hours of information that they are unlikely to remember, seek to deliver information when they will actually need it in small doses of microcontent. We have limited attention spans — the more digestible the information, the better.
  2. Consider the value of your employees’ time. Take into account the hourly salary of your employees and the time they are in training today. If you calculate their hourly rate against the hours of training, how expensive are your classes if the employee is not getting value and retaining knowledge? And if your employees feel that the training is a waste of their time, that’s even worse. They are likely to be multitasking their way through the course. When you consider your training program, make sure the benefit is clear to your employees and that you are developing your training with specific and measurable goals in mind.
  3. Involve your employees in the learning process. Are your employees actively involved in training, or are they passive attendees? Involving your employees in the training process is more effective for many reasons. For one, peers respect peers. Second, coworkers naturally communicate with one another more fluidly than with upper management or an instructor. And last and maybe most importantly, when your employees are involved in the process, they take ownership of the outcome.
  4. Balance learning with physical needs. For your training to be successful, your employees need to be in a good place both mentally and physically. If you are hosting intensive in-person training, be sure you are providing plenty of brain breaks, time for walking or stretching, healthy snacks, and encourage everyone to stay hydrated.
  5. Structure your learning program with a multifaceted approach. The need for your employees to reskill and upskill will continue to be important for the success of your team — especially as your organization strives to thrive through unpredictable tides of change. But when it comes to learning, there is not a silver bullet approach. The best method is to build a learning strategy that is versatile and broad to benefit the majority of your employees.

Learning at work today is broken, but it doesn’t have to be. With these five steps, your employees can be more engaged, prepared and set up for success.

Related: 3 Corporate Training Resolutions for 2022

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Exclusive: Elon Musk Just Made a Life-Changing Adjustment, and It's Actually Quite Inspiring – TalkOfNews.com

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Elon Musk Just Made a Life-Changing Adjustment, and It's Actually Quite Inspiring

#Elon #Musk #LifeChanging #Adjustment #andIt039s #Inspiring

Friends, readers, fellow humans. I come to learn from Elon Musk, not to praise him. 

Yet, if I’m reading this correctly, Musk just made a smart, healthy lifestyle change that’s worthy of praise and imitation, even if it might only have been temporary. 

Background: You may have read that Musk took a 9-day break recently from Twitter. 

This was a big change for him. According to the tally at the top of his Twitter bio, Musk has tweeted roughly 18,500 times.

And, based on an analysis of about 14,000 of those tweets between 2018 and this year, he’s tweeted at least an average of between 8 and 10 times a day, nearly every day going back almost five years. 

Until last month, he hadn’t gone more than six days without a tweet during that same time period, according to a Wall Street Journal analysis.

Heck — and this sounds like it should be a joke, but of course we all know it’s not — Musk likes tweeting so much that he’s literally trying to buy the company. 

So against all that, Musk takes more than a week off — and when he reemerges, it’s with the following:

  • A tweet mourning the death of YouTube influencer Technoblade, and
  • A tweet celebrating Musk’s trip, along with four of his eight children, to meet Pope Francis in Rome.

I don’t know what Musk was doing during those nine tweet-less days. Bloomberg, Business Insider and other media described his absence as “mysterious.” Maybe it had something to do with his plan to buy Twitter.

But, to me it’s like a reader reading a poem, or a visitor looking at a painting. What the artist intended matters, but whatever you take away from the experience matters more.

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Here’s what I take away. We are what we repeatedly do, as more than a few people have famously said. Yet, there are eras in which our lives are overpowered by our habits — and by a compulsion to do things that aren’t necessarily the things we want to define us. 

Sometimes we need a break. Sometimes it’s really hard to pull off.

Is that what Musk was doing? Taking an intentional break? Maybe even deciding to spend a dedicated stretch of time with (some of) his kids?

It would be an important decision, and inspiring to think so, even if we can’t know for sure.

And it leaves me asking a question: What’s the thing in your life that distracts you from your most important relationships? 

Social media? Obsession with work? Vices? Something else?

How would cutting them off temporarily — cold Turkey, for a week or 10 days — allow you to repair and nurture the things you really want to define you?

Look, people either love Musk or hate him at this point. There’s very little middle ground.

But as I write in my free ebook, Elon Musk Has Very Big Plans, you don’t have to feel one way or another to learn from him. 

Maybe this is just one of those learnable moments. And an opportunity, as we start the summer, to unplug just long enough for it to really matter.

The opinions expressed here by Inc.com columnists are their own, not those of Inc.com.
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