Indeed laid off approximately 2,200 people today, accounting for roughly 15% of the company’s global workforce. “The cuts come from nearly every team, function, level, and region at Indeed and Indeed Flex,” CEO Chris Hyams wrote in a letter posted to the company’s website.
For the reason, Hyams cited “undeniable” revenue trends related to decreased job openings and a 33% decline in sponsored job volumes. “It is becoming increasingly likely that HR Tech revenue will decline in FY2023 and potentially again in FY2024,” he wrote. “In the U.S., we are expecting job openings will likely decrease to pre-pandemic levels of about 7.5 million, or even lower over the next two to three years.”
Employees are being given a severance package of 16 weeks of base salary (or 2 weeks for every year of service, whichever is greater), 4 months of COBRA (U.S. only), accrued PTO, a cash payout for some RSUs, and access to ongoing career placement and mental health services. Hyams is taking a 25% cut in base pay.