Zoom becomes the latest tech giant to announce major job cuts
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Zoom has become the latest tech giant to announce serious cuts to its workforce, with around 15% of its workforce facing the axe.
a after (opens in new tab) the videoconferencing company’s website shares a message sent to the company’s employees, detailing the layoff of approximately 1,300 “hard-working, talented colleagues”.
The message comes from Zoom CEO Eric Yuan, who also pledged to cut spending himself to support the company’s sustainability as it faces a challenging year.
Zoom fired
In his statement, Yuan blamed the “uncertainty of the global economy” for what he calls a “reset” of the company – a move that will see 15% of the workforce leave.
Yuan also claims to cut his salary by 98% for the upcoming fiscal year so that the company can “better weathered through the economic climate.” This would make it about $6,035 based on last year’s salary of $301,731, according to Bloomberg (opens in new tab). He also waives a company bonus.
Members of my executive leadership team will have their base salaries cut by 20% for the upcoming fiscal year, while also forfeiting their FY23 corporate bonuses,” Yuan added.
Zoom’s US employees have been promised up to 16 weeks of salary and health insurance, payment of their earned annual bonus for FY 2023 based on performance, RSU and stock option vesting, and outplacement services such as coaching, workshops and networking groups. Non-US employees would receive similar offers based on local laws.