twilio announces layoff – another wave of layoff
On Monday the Twilio Inc announced a new round of layoff in its unit. It is a Cloud communications company which is planning to reduce around 17% of its employees and closing some offices. This is being done as a step forward to focus on profitability and rebuilding itself.
This technology firms have recently cut thousands of their employees as they prepare for a period of low demand and high interest rates and many signs of macroeconomic instability and no further profits.
This is an example of the kind of company that has downsized its workforce in 5 months. The news sent the company’s stock up 2%.
Twilio had fewer than 9,000 employees in the month of September. But it is not clear whether the effect of previous layoffs was added to this figure.
Twilio Communications and Twilio Data and Applications will be two units of the company Twilio.
During the time of announcement, the Twilio layoff the Jeff Lawson who is Chief Executive Officer and co-founder of the company said his views on a blogpost. “This is because the two parts of our business — communications and software — are in different lifecycle stages and have different operational requirements,”
Both units of the company will comprise sales, research and development and operational resources.
Revenue of Twilio at the peak of the pandemic but the growth rate has slowed since then. If we talk about stock, it fell down more than 81%. But have gained a quarter of their value this year as technology stocks have staged a revival after cutting costs across the units of the company.
So, the another wave of layoff is not in mode to slow down.