According to the latest Wall Street Journal report, American cloud software company Salesforce has decided to lay off about 700 employees.
The laid-off employees represent 1% of the company's approximately 70,000 employees worldwide, while the company itself continues to announce about a thousand new jobs, which means this move is likely to come as part of regular employment changes. It is said at the beginning of the new year.
Salesforce is laying off about 10% of its workforce in 2023 as investors seek to grow earnings faster than expected, cut some benefits and limit travel expenses.
The Wall Street Journal, citing sources inside the company, said the latest layoffs are aimed at helping the company focus its spending. The company has not yet officially commented on the information circulating about the layoff process.
Growth at many global technology companies has slowed as the coronavirus pandemic has subsided, leading to mass layoffs that began last year and continue today.
An estimated 80 technology companies have laid off more than 20,000 employees so far this year.
Historically, January is a popular month for layoffs as companies adjust their budgets and make New Year's resolutions. Companies in the technology sector laid off nearly 90,000 employees in January 2023.