Software company Salesforce is cutting 10% of its employees after hiring too many during the pandemic.
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“As our revenue accelerated through the pandemic, we hired too many people leading into this economic downturn we’re now facing, and I take responsibility for that,” Salesforce CEO Marc Benioff said in a letter to employees and a corresponding filing with the Securities and Exchange Commission.
He has also blamed the challenging environment that has forced customers to take a more measured approach to their purchasing decisions.
The employees will be terminated over the coming weeks.
The US-based company will mail the affected employees to inform them about this decision and the leadership will reach out directly to these employees, and provide clarity about the changes within their organisation.
However, the enterprise software firm has assured full support to those who will be leaving them. The company will provide its US employees a minimum of around five months of pay, health insurance, career resources, and other benefits during the transition.
Those outside the U.S. will receive a similar level of support, and our local processes will align with employment laws in each country, Marc said in the letter.
The decision by the tech company comes at a time when employees around the globe have been hit by massive layoffs in several companies including Meta, Amazon, Alibaba, Credit Suisse, Tencent, Microsoft, Twitter, among others.
Published - January 06, 2023 02:05 pm IST
