Freshworks Too Falls In The Layoff Saga
According to media reports, Nasdaq-listed Software-as-a-Service provider Freshworks has conducted another round of layoffs among its product, engineering, and go-to-market (GTM) teams from its US site, citing performance assessments. The GTM team at Freshworks consists of marketing, strategy, and enablement.
This is Freshworks' third wave of layoffs as the company looks for methods to survive the macroeconomic pressures and decrease costs. Freshworks announced its second round of layoffs of around 114 employees in March 2023, citing performance assessments. To save costs, the company lay off 2 per cent of its workforce, or 90 workers, in December of last year.
The company employs approximately 5000 people worldwide. The SaaS ecosystem in India and throughout the world is beginning to feel the heat of slowing demand growth ahead of a possible global recession and is implementing cost-cutting measures such as layoffs.
SaaS startups, after the pandemic, overestimated the market size. For instance, Chargebee reported 400 employees at the end of last year, with a goal of more than 1,000 by 2022. Freshworks had roughly 1,000 employees in 2019, and it expects to grow by 4,000 by 2022. Exotel, situated in Bengaluru, also lay off approximately 142 staff in January 2023.
