Freshworks, the California-based IT service management firm, has announced it will lay off approximately 13% of its global workforce, impacting around 660 employees.
This decision comes as part of the company’s strategic realignment to focus on key growth areas such as AI, Employee Experience (EX), and Customer Experience (CX).
Freshworks: Strategic Realignment and Focus Areas
Freshworks CEO Dennis Woodside stated in an internal memo that the layoffs reflect the company’s focus on its strategic imperatives.
The company aims to simplify its operations and operate more efficiently by concentrating on AI-driven products and services.
Freshworks recently launched Freddy AI Agent, an autonomous service agent designed to enhance both customer and employee experiences.
Despite the workforce reduction, Freshworks reported a 22% growth in revenue. The company reached $186.6 million for the third quarter ended September 30, 2024.
The company also raised its annual revenue and profit forecasts following upbeat third-quarter results.
Freshworks now expects annual revenue to be between $713.6 million and $716.6 million, up from its prior expectations.
Impact on Employees
The layoffs will affect employees in the US, India, and other regions.
The company aims to complete the restructuring plan by the end of the fiscal year ending December 31, 2024.
Freshworks’ decision to lay off 13% of its workforce is a significant move to streamline operations. It also focuses on key growth areas.
Despite the workforce reduction, the company has shown strong financial performance.
Its strategic focus on AI and customer experience is expected to drive future growth and innovation.
Note: We are also on WhatsApp, LinkedIn, Google News, and YouTube, to get the latest news updates, Subscribe to our Channels. WhatsApp– Click Here, Google News– Click Here, YouTube – Click Here, and LinkedIn– Click Here.
