More than 1,100 redundancies and over 180,000 job losses have been reported in the IT industry since the outset of 2022. But the layoff wave is far from done. Due to recent management changes, massive stress to fulfill sales objectives, and the presence of activist investors, American IT giant Salesforce is preparing another wave of cutbacks.
Staff at Salesforce allegedly worry that a redundancy announcement may come at any moment. As one worker put it, “people are terrified that (layoffs) may occur at any time,” as reported by Business Insider. Since the beginning of the year, the corporation has been concentrating on cost-cutting initiatives and making major efforts to reduce budget expenditure in response to global economic uncertainties.
The cloud-based technology company in San Francisco, California, laid off hundreds of staff in early November, continuing in the footsteps of other internet titans like Meta, Amazon, and Twitter. The protocol was the first to comment on the cutbacks at Salesforce, which it said might affect as many as 2,500 workers. However, the firm claimed in a press release that only “less than a thousand” people will be affected by the layoffs.
The staggering number of Salesforce workers that were laid off in 2022 (almost 73,000) is noteworthy. However, the corporation has indicated that it would take “major actions” in response to the prevailing economic circumstances and in order to reach profit objectives by pursuing cost-cutting measures. Among the recent layoffs was the announcement by Salesforce Vice Chair and Co-CEO Bret Taylor that he would leave the company on January 31, 2023.
Bret Taylor’s resignation as Vice Chair and Co-CEO was made public earlier this month. His last day will be January 31, 2023. As of now, the cloud software firm will be led by Marc Benioff, one of the business’s co back in 1999.
“I am grateful for six fantastic years at Salesforce. After a lot of reflection, I`ve decided to return to my entrepreneurial roots,” Taylor said in a statement.