Twilio to lay off 11% of workforce

FAN Editor

Jeff Lawson, co-founder and chief executive officer of Twilio Inc., center, rings the opening bell on the floor of the New York Stock Exchange in New York, Sept.17, 2018.

Michael Nagle | Bloomberg | Getty Images

Twilio will lay off 11% of its workforce as part of a major restructuring plan, according to an SEC filing published Wednesday.

Twilio had 7,867 employees as of Dec. 31, 2021.

The cloud communications software builder has been striving for profitability in 2023, and the restructuring aims to improve operating margins, create a better selling capacity and reduce operating costs.

In a letter to employees, Twilio CEO Jeff Lawson said the company decided to lay off staff in order to run more efficiently and to align the company’s investments with its priorities. He said the decision was “extremely difficult,” but also “wise and necessary.”

“Twilio has grown at an astonishing rate over the past couple years. It was too fast, and without enough focus on our most important company priorities,” Lawson said in the letter. “I take responsibility for those decisions, as well as the difficult decision to do this layoff.”

Lawson said the employees impacted are in areas of the company that can operate more efficiently and where customers can “succeed without as much human intervention.”

Twilio said it expects to incur between $70 million and $90 million in charges related to the restructuring plan.

Shares of Twilio were up more than 5% on Wednesday morning.

Free America Network Articles

Leave a Reply

Next Post

Short-term bond yields continue climbing, 2-year Treasury tops 3.8%

Short-term U.S. Treasury yields continued to climb higher on Wednesday as investors digested the previous session’s dramatic market route triggered by a hot inflation reading. The yield on the 2-year Treasury, the part of the curve most sensitive to Fed policy, was trading roughly 2 basis points higher at around 11:00 a.m. […]