Qualtrics is laying off about 780 employees, approximately 14% of its staff, with the aim of reducing costs and restructuring the organization. More specifically, the company has indicated that it is doing so to address the internal complications generated during its phase in which they have experienced a very rapid level of hiring and growth.
The news was confirmed to the workers on Qualtrics CEO Zig Serafin, in a statement that they later published on their website. Currently, Qualtrics has around 5,500 employees, with its headquarters located between Provo, Utah, and Seattle. In Seattle it has about 900 workers, and despite the fact that there are layoffs, the company has not considered closing it to remain with a single headquarters.
According to Serafin, «Hiring quickly has been essential to growing to the point we are at, but it has also created complications that are not worth it for us to continually grow at our current level. Simply put: the organizational structures, work processes, and way we made decisions before are not working for the company we have become, or the one we aspire to be.«.
This has led to layoffs, but the changes are not going to stop there, as Qualtrics has already begun to undergo a major restructuring. This is what Serafin points out, emphasizing that «several hundred positions will change, or move to other locations over the next year«. He has also warned that the changes will affect all the company’s teams, and will be carried out after «an in-depth review of each position in the company«.
The changes planned by Qualtrics have the mission, in addition to improving internal organization, to do the same with collaboration. They also seek to reduce the time it takes until new products and services are launched on the market, and to facilitate relationships and business with customers and partners.
Dismissed workers will receive compensation consisting of a minimum of 10 weeks’ salary, depending on their level and position, in addition to other services. This is in case they work in the United States offices of Qualtrics. It is assumed that in the case of the rest, the conditions will be those that must be applied by law depending on the country. Currently, the company has offices in 28 countries.
Qualtrics, acquired by SAP in 2019 for $8 billion, became an independent company again two years later. In 2021 it went public, an operation with which it managed to raise 1,550 million dollars, to to go private again in early 2023 after its sale to Silver Lake for 12.5 billion dollars. Its products are focused on making it easier for companies to collect and analyze data, through surveys and other technologies, to influence decision making. Its clients include more than 90% of the Fortune 100 companies.