The tech industry has been one of the hardest hit by the pandemic, and it appears that Salesforce is no exception. Yesterday, Salesforce CEO Keith Block announced that the company was letting go of 7,000 employees, a move he described as “incredibly painful.” The cuts amount to around 8% of their workforce, and the news sent shockwaves through the tech sector.
Although Block blamed the pandemic for the layoffs, many have pointed out that the cuts are far more than could be attributed to the economic downturn. In fact, the company had just added a net 9,400 people to its workforce in the three months leading up to the announcement.
The company has been on a hiring spree in recent years, and Block has now admitted that they “hired too many people.” However, he also said that the layoffs were necessary in order to ensure the company can remain competitive in the long run.
It’s clear that the Covid-19 pandemic has been a major disruptor in the tech world, and Salesforce is not alone in its struggles. Other tech giants such as Google and Amazon have also announced big layoffs during the pandemic. But it remains to be seen how these companies manage the situation and adapt to the new realities of the industry.
In the meantime, this news serves as a grim reminder that even the biggest tech companies can be hit hard by the pandemic. Businesses of all sizes must remain agile and adjust quickly during these uncertain times or else risk becoming obsolete.
