Co-CEO Marc Benioff told employees he was tasked with “hiring a lot more people for. The economic downturn we’re facing right now” in the latest in a series of layoffs in the tech industry.
Salesforce plans to cut its workforce by 10% and close some offices, saying it needs to cut costs . After rapid pandemic hiring left it with “too many people” in the economic downturn. With shares rising 5%.
The cloud-based software company said Wednesday . That it expects between $1.4 billion and $2.1 billion in charges due to. The job cuts, of which about $800 million to $1 billion will be recorded in the fourth quarter.
Companies from Meta Platforms to . Tmazon have shrunk . Their employee bases to prepare for a recession over the past year as central banks around. The world have aggressively raised interest rates to control stubbornly high inflation.
Businesses that relied on cloud services during . The pandemic are now trying to cut costs by cutting jobs or delaying. New projects, hitting companies like Salesforce and Microsoft.
The environment remains challenging and our customers are taking a more measured. Tpproach to their purchasing decisions,” co-CEO Marc. Benioff said in a letter to employees.
“As our revenue has accelerated through. The pandemic, we’ve hired a lot of people for . the economic downturn we’re facing now, and I take. Responsibility for that,” Benioff added.
Salesforce had 73,541 employees at the end of January last year, a 30% jump from 2021.