Factorial, a Spanish HR tech unicorn valued over $1 billion, laid off more than 20 employees in July 2023. This follows the company's dismissal of its chief product officer in June. While the company cites excessive bureaucratization as the reason, internal sources point to concerns over growth rates. Despite raising over €100 million in 2022, Factorial's growth slowed to 2.8 times its 2022 figures, missing its internal target of tripling revenue. The layoffs reflect strategic adjustments amid a challenging tech investment climate, impacting a small portion of its workforce, which numbers in the hundreds.
