Freshworks

Freshworks, a Nasdaq-listed SaaS platform, announced a 13% reduction of its global workforce on November 7, 2024, affecting 660 employees out of a total of over 5,000. The layoffs are part of a restructuring plan to streamline operations and reallocate investments toward its fastest-growing Employee Experience (EX) business, following a strategic shift under new CEO Dennis Woodside. The company expects to incur related charges of $11-13 million in Q4 2024 and complete the restructuring by year-end. Concurrently, Freshworks authorized a $400 million stock buyback program. Despite a 7% quarterly revenue increase to $186.57 million, net losses widened, highlighting the operational pressures prompting this move.

In June 2023, Nasdaq-listed SaaS company Freshworks conducted its third round of layoffs, affecting product, engineering, and go-to-market teams at its US site, citing performance assessments. This follows earlier cuts of about 90 employees (2% of its workforce) in December 2022 and around 114 in March 2023. With a global workforce of approximately 5,000, the company is implementing these cost-cutting measures to navigate macroeconomic pressures and slowing demand growth. The broader SaaS industry, including many startups that overestimated post-pandemic market expansion, is facing similar challenges, leading to widespread workforce reductions to ensure survival.

Freshworks, a Nasdaq-listed SaaS company with approximately 5,200 employees globally, conducted a new round of layoffs in March 2023, affecting staff in India and the US. While the exact number of impacted employees was not disclosed, the company described it as a "small number" and stated the move was aimed at improving organizational efficiency and eliminating duplicated efforts, not related to the Silicon Valley Bank collapse. This followed a previous layoff three months earlier, where about 90 employees (2% of the workforce) were cut due to performance issues and staffing redundancies amid macroeconomic pressures in the software industry.

Freshworks, a Nasdaq-listed SaaS unicorn in the enterprise tech industry, has laid off approximately 90 employees, which represents less than 2% of its workforce of over 4,000 people. The layoffs, occurring across sales, marketing, and engineering teams, are part of an organizational reshuffle aimed at fueling business growth and aligning resources with critical initiatives amid macroeconomic pressures. This move reflects broader industry challenges, including inflationary pressures and reduced software spending, which have prompted similar actions by other SaaS companies. The affected employees have reportedly received severance packages, and the company has integrated its HR management system, Freshteams, with another product as part of these changes.