Posted: Wed 11/9/22 10:43AM Updated
New Delhi: Enterprise software company Salesforce has now laid off hundreds of employees as big tech companies weather the economic slowdown.
Protocol first reported that Salesforce was preparing for a massive layoff that could affect as many as 2,500 employees.
However, the company told the media publication that the layoffs affected “less than a thousand” employees.
The enterprise software maker confirmed it laid off employees earlier this week.
“Our sales performance process drives accountability. Unfortunately, this may lead to some people leaving the company, and we support them through the transition,” the company said in a statement.
Earlier this year, the company had 73,541 people on its payroll.
In August, Salesforce said in a filing that it had increased headcount by 36% last year “to meet higher customer demand for service.”
Under the agreement, Salesforce previously laid off about 90 contract workers and imposed a hiring freeze through January 2023.
“Investors are increasingly demanding bigger returns from Salesforce, which has been using profits for growth, including spending billions of dollars on companies like Slack and Tableau,” the report said.
Salesforce is also reportedly facing pressure from activist investor Starboard.
Microsoft, one of Salesforce’s main competitors in the business software space, announced a round of layoffs in October.
