Recently appointed Yahoo CEO Scott Thompson certainly has a lot on his mind, as he tries to steer the troubled company away from oblivion.

Sadly, one of his first major moves will not make him too many friends at Yahoo. On Wednesday Thompson announced plans to sack 14 percent of the company’s workforce, roughly 2,000 souls. The cuts will save about $375 million a year as Yahoo struggles to boost earnings and recover from a flat spin.

Thompson is also planning to reshuffle certain Yahoo divisions and possibly sell off its ad-placement service as the company refocuses on its core business.

"We are intensifying our efforts on our core businesses and redeploying resources to our most urgent priorities," said Thompson. "Our goal is to get back to our core purpose.”

Yahoo has seen better days, but it is still not too late for a turnaround. However, the outfit is lagging behind the likes of Google and Facebook and it is unclear whether it can restore competitiveness anytime soon.

More here.