Grubhub cuts 23% of its workforce after the agreement with Wonder and announces changes

Grubhub cuts 23% of its workforce after the agreement with Wonder and announces changes

Grubhub is cutting approximately 23% of its workforce and prepare the stage for more changes in the company after its acquisition by Wonder Group, the owner of Blue APON.

“We have made the difficult decision to eliminate approximately 500 positions in Grubhub. These changes cover all teams as we begin to integrate functions with Wonder, ”said Grubhub executive director Howard Migdal, in a message to employees on Friday that It was published on the company’s website. Grubhub had around 2,200 employees before the adSaid the company spokeswoman Katie Norris. In view of the employment cuts, Grubhub closed the offices during the day.

The cuts are intended to “reduce management levels, bring leaders to business and eliminate duplication”Said Migdal. The company is planning an assembly in March to talk more about “the way to follow and our strategy for 2025,” he said.

Wonder, owned by the former Walmart Inc. executive Marc Lore, announced that he would buy Grubhub from Just Eat Takeoway.com NV last November for approximately US $ 650 millionwhich represents a 90% discount with respect to its pandemic peak. Wonder operates its own restaurants through its ghost cooking facilities, food delivery through relay and the service of prepared and edible foods of Blue APON.

On Monday, Dutch technological inverter Prosus NV He said that in turn had reached an agreement to buy Just Eat for around US $ 4.3 billion.

Grubhub will continue to be an independent brand and is “well positioned within Wonder,” Norris said. In 2024, the company achieved a positive free cash flow and the volume of orders grew year after year in the first two months of 2025, affirmed.

Norris said the company has experienced a “significant increase in the frequency of orders” in its loyalty program linked to Amazon Prime. The brand has incorporated 90,000 new merchants in the last 18 months, including more convenience and edible options such as Albertsons, CVS and Walgreenshe said.