Salesforce to cut workforce by 10% after hiring ‘too many people’ during the pandemic – By Paul Sawers (Techcrunch) / Jan 4, 2023
Salesforce has announced that it’s cutting some 10% of its workforce, impacting more than 7,000 employees, while it will also shutter offices in “certain markets.”
In a letter to employees and a corresponding filing with the Securities and Exchange Commission (SEC), Salesforce CEO Marc Benioff referenced the “challenging” environment in which it’s operating, pointing to the “more measured approach” its customers are making with their purchasing decisions.
Similar to other companies hit by significant layoffs over the past year, Benioff added that Salesforce had hired too many people through the pandemic during the boom times. For context, the company claimed 79,000 employees last February, a 30% increase on 2020.
“I’ve been thinking a lot about how we came to this moment,” Benioff wrote. “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.”
