Hundreds of layoffs at Salesforce
After receiving Dissolved its office in Hong Kong In the summer of 2022, Salesforce will be the latest company to formalize a wave of layoffs. Not the same Bigger than Twitter, but still. This week, the company Hundreds of people were forced to lay off their jobs. Tech players are facing an unprecedented crisis. The company would not release the exact number of layoffs, but said it was fewer than 1,000. The decision was communicated to the concerned persons on November 8, 2022.
It’s another announcement in the ongoing wave of layoffs at US tech companies that we’ve been hearing about for months. Tech giants are looking for profit and seem willing to do anything to achieve it. The news follows Starboard Value’s equity investment in Salesforce. Investor Trying to cut costs And this wave of layoffs is consistent with this philosophy.
This new investor said Salesforce’s growth and profits were 14% below what they should have been. How can Salesforce close this gap? By improving its operational range and thereby reducing costs. Even before Starboard’s stake, Salesforce had plans to cut costs. The company was overwhelming 73,000 employees Before this wave of layoffs.
As a result, Salesforce’s chief financial officer Amy Weaver said last month. While the company is targeting revenue of $50 billion in fiscal 2026, it also expects to be more profitable, targeting a 25% operating margin over the same period. The spokesperson of the company has given an explanation about this. Our sales performance process encourages accountability. Unfortunately, this can lead to some people leaving the company, and we support them in their transition “.