Zoom has announced the cut of roughly 15% of its workforce, equating to about 1,300 workers.
According to a blog post shared on the company’s website, the company decided to conduct layoffs because of the ongoing economic difficulties in the world and its need to adapt to them.
During the pandemic, Zoom witnessed a significant surge in adoption when people were forced to work from home and turned to its video chat software to stay in touch with colleagues, friends, and family.
“We worked tirelessly and made Zoom better for our customers and users. But we also made mistakes,” said CEO Eric Yuan. “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.”
Layoffs are expected to impact every part of the organization and those affected will receive up to 16 weeks of salary and healthcare coverage.
Along with the reduction in staff, Yuan also noted that he would take a 98% pay cut in the coming fiscal year and forego his corporate bonus.
“As the CEO and founder of Zoom, I am accountable for these mistakes and the actions we take today– and I want to show accountability not just in words but in my own actions,” continued Yuan.
Zoom’s announcement follows a series of layoffs in the tech industry, including Dell, which announced plans to cut 6,650 jobs on Monday, Google, PayPal, Spotify, Microsoft, Hubspot, and Salesforce.