The wave of layoffs in the technology industry continues to grow.
Software company Salesforce cut hundreds of jobs this week, according to reports. The company confirmed the layoffs in an email.
“Our sales performance process drives accountability. Unfortunately, that can lead to some leaving the business, and we support them through their transition,” a Salesforce spokesperson said in a statement.
Salesforce did not disclose how many workers were laid off or when the layoffs were implemented.
CNBC reported that the layoffs affected fewer than 1,000 people on Monday, representing a tiny fraction of the company’s workforce, citing an unnamed source. Salesforce reported 78,634 employees as of July 31.
Protocol first reported the layoffs, saying the cuts could affect up to 2,500 workers “amid a new challenge from activist investors and tough economic conditions.”
News of the layoffs came after reports last month that activist investor Starboard Value revealed a stake in the company.
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Meta layoffs:Facebook parent company to lay off more than 11,000 employees
Redfin cuts 13% of its staff
Meanwhile, online real estate brokerage firm Redfin announced Wednesday that it is laying off 862 employees, about 13% of its workforce, and closing its iBuying home remodeling business amid a housing market downturn.
The move follows another reduction announced in June, when Redfin laid off some 470 employees, about 6% of its workforce, after a drop in demand. The number of people working at the company has fallen 27% since April 30, according to a company blog post.
“The June layoff was in response to our expectation that we would sell fewer houses in 2022; this layoff assumes the recession will last through at least 2023,” Redfin CEO Glenn Kelman said in an email to employees.
Layoffs sweep the tech industry
Salesforce and Redfin join several tech companies that recently announced layoffs and other cost-cutting measures as employers brace for a possible recession next year.
Also Wednesday, Facebook’s parent company Meta announced it will lay off more than 11,000 employees, a 13% reduction in headcount, after significantly ramping up investments during the pandemic as e-commerce surged.
“Not only has online trading returned to previous trends, but the macroeconomic downturn, increased competition and loss of advertising signs have caused our revenue to be much lower than I expected,” said CEO of Meta, Mark Zuckerberg, in a message to employees. “I was wrong and I take responsibility for that.”
Last week, Facebook rival Twitter laid off about half of its workforce of more than 7,500 full-time employees shortly after billionaire Elon Musk acquired the social media platform. However, the company reportedly asked dozens of workers to return, according to Bloomberg.
As of the end of October, more than 52,000 tech workers in the US have been laid off this year, according to an analysis by Crunchbase.