Software maker Twilio has announced plans to cur 1,500 jobs just months after a previous wave of layoffs.
The reductions is about 17 percent of its workforce, a higher percentage than the likes of Microsoft and Amazon have released in their own cuts.
The firm is also looking to reduce some office space and staff benefits.
The cloud communications software maker would spend $100 million to $135 million in costs, mainly to cover severance pay.
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After expanding rapidly, the software company said in September that it would axe 11 percent of employees.
The total number of layoffs is around 2,350.
Twilio’s headcount will be around 6,642 when completed, roughly the same as staffing levels in mid-2021.
In a message to staff, CEO Jeff Lawson said: “We have to spend less, streamline, and become more efficient.”
He added that the communications division had especially become “too big.”
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He said the current wave of cuts is more about restructuring.
As part of the moves, the firm will name Aidan Viggiano as its new chief financial officer.
Employee benefits like a sabbatical program and book allowances will be reduced.
The company intends to keep “at least a handful of global hubs and satellite offices” by shutting offices over the next few months.
Mr. Lawson’s base salary will be cut in half to $65,535.
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In 2021, his basic pay was less than one percent of his entire compensation package of $14.6 million, including stock awards.
Twilio has cut a larger percentage of its staff than virtually any of the other major public companies like Amazon, Salesforce, Microsoft, and Workday.
Staff cuts have rattled the market as demand from the pandemic heyday fell, and investors want more returns.
Zoom said last week its CEO, Eric Yuan, will accept a 98 percent pay cut after proposing a 15 percent downsizing.
Source: The Seattle Times
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