Zoom is cutting 1,300 jobs or 15 percent of its employees, joining other tech companies to reduce staff amid a grim economic outlook.
CEO Eric Yuan said he would take a 98 percent pay cut and give up his corporate bonus, following other top leaders across finance and technology.
In the fiscal year ending in January 2022, he earned nearly $300,000 in salary and around $13,000 in bonuses.
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The San Jose giant had a pandemic boom when companies and customers turned to its videoconferencing software.
But that growth has slowed as employees are returning to the office.
Mr. Yuan said the company went on a hiring spree, tripling in size within two years.
It had about 6,800 employees in January 2022, up from nearly 2,500 at the same time in 2020.
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Mr. Yuan said: “We didn’t take as much time as we should have to thoroughly analyze our teams or assess if we were growing sustainably, toward the highest priorities.
“I am accountable for these mistakes.”
Zoom’s senior management will also waive its bonuses and slash base pay by 20 percent for the coming fiscal year.
Layoffs are rolling in this year after a surprising end last year, as several tech giants like Dell, IBM, and others took steps to downsize.
Last month, leading industry players Amazon, Microsoft, and Alphabet have shed their workforce by tens of thousands.
Source: The Wall Street Journal
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