Freshworks, the cloud software firm, announced a 13 per cent reduction in its workforce, affecting 660 employees across multiple countries, including the United States and India. This move is part of a broader strategy to streamline operations while reinforcing focus on specific growth areas.
As part of the restructuring, Freshworks is shifting its priorities towards core business solutions, particularly in customer experience (CX) products, artificial intelligence (AI), and employee experience (EX) services. CEO Dennis Woodside explained that this refocusing strategy will unify the company’s CX functions, such as support, sales, and marketing, into a cohesive approach to resource allocation.
Impacted employees will receive transition support packages tailored by region, factoring in local labour laws and customs. These packages include severance based on tenure, extended medical benefits, and career assistance to ease the transition.
The announcement comes as Freshworks reports a 22 per cent year-on-year revenue increase in its third-quarter financials, reaching $186.6 million. However, the company also saw GAAP operating losses of $(38.9) million, a slight increase compared to last year’s $38.7 million loss in Q3.
Freshworks reduces workforce by 13% globally
Job cuts part of a focused effort to boost growth amid financial challenges
