ServiceNow has begun its third round of layoffs this year, affecting employees in the US, UK and India. The company has not disclosed how many employees are affected. The cuts reportedly span multiple departments.
The layoffs follow a volatile period for ServiceNow’s stock. Shares fell more than 20% after the company’s third-quarter earnings announcement failed to meet Wall Street expectations for future growth.
ServiceNow said it is making “necessary changes” to its structure to improve efficiency and invest in AI-focused skills.
A week earlier, CEO Bill McDermott faced questions about declining headcount and described a smaller workforce as a “gorgeous situation.” His comment has drawn scrutiny as the job cuts continue.