US second largest group-buying website LivingSocial is working on a new round reorganization in order to contain the business decline.

LivingSocial cut 280 jobs, accounting for 50%-60% of its current workforce. About 120 of customer service positions are replaced by outsourcing contactors. LivingSocial once was the most excellent company in E-commerce industry. It was the most competitive rival of Groupon.

However, LivingSocial is going to recruit 200 to 250 new employees after this staff reduction plan.

CEO Gautam Thakar addressed when he was interviewed by the medium that the company made balance for its voucher business. It plans to put all investments on card-linking discount in the near future.

The card-linking business is testing in three major cities now. It offers discounts for LivingSocial clients when they check in hotels. The registers only need to show hotel staff the LivingSocial registered credit card, then pay for the hotel room. The specific discount amount and discount date are made by the hotels.

Thakar suggested that the company is looking for more investors for equity trading. If it comes successful, LivingSocial will make full use of those capital to explore new business in new cities and invest on business in new industry.

He added that reducing jobs doesn’t mean the company is on sale. There will be related negotiations concerning financing.

LivingSocial has financed $900 million from Amazon, JPMorgan Chase, Lightspeed, Venture Partners and so on.

In fact, this is the third time LivingSocial cut workforce since Thakar works as CEO in a year and a half. He laid off about in a total of 900 employees.