News: Microsoft Cloud tools vendor Skykick streamlines operations, lays off 140 staff

Strategic HR

Microsoft Cloud tools vendor Skykick streamlines operations, lays off 140 staff

Out of total number of employees who were laid off, 98 of them are situated in the United States.
Microsoft Cloud tools vendor Skykick streamlines operations, lays off 140 staff

SkyKick, known for its offerings such as migration and backup tools for Microsoft 365, announced that it will be reducing its global workforce by over 100 employees.

In a statement provided to CRN, Todd Schwartz, one of the co-CEOs at SkyKick based in Seattle, characterised the layoff as a challenging choice made in response to prevailing market conditions.

“We are well positioned and remain steadfastly committed to ensuring our partners’ success in the cloud over the long-term,” Schwartz said.

While the statement did not specify the exact percentage of employees affected by the layoffs or provide a final headcount post-layoff, it did disclose that a total of 140 employees were released globally, with 98 of these individuals located in the United States.

SkyKick's LinkedIn profile indicates an employee count of approximately 320. However, it remains unclear whether this figure represents the workforce before or after the recent reduction.

In 2021, the company secured $130 million in a financing round and had approximately 250 employees at that time. This suggests that there has been notable growth and changes in the company's staffing levels over recent years, culminating in the recent workforce reduction.

According to its website, the vendor boasts a global network of over 30,000 partners.

The information provided by an online database from the state of Washington suggests that 181 employees were let go, but this figure has been deemed inaccurate according to the statement from SkyKick. 

Additionally, it has been reported that the vendor conducted layoffs in March of an undisclosed number of employees, as reported by the Puget Sound Business Journal.

SkyKick is not just the only vendor who reduced its workforce. Several vendors initiated layoffs due to a decrease in demand for digital tools since the height of the pandemic. Rapid7, Intel, Dell, Secureworks, and Fortinet have also taken similar actions recently and have announced plans for workforce cuts.

In July of this year, Microsoft conducted a round of layoffs, which affected approximately 276 employees. Before that, the tech giant terminated 276 employees located in Washington, USA. 

The layoffs affected departments such as customer service, support, and sales, with 66 of the affected employees working remotely. It's worth noting that earlier in January of this year, Microsoft had announced a workforce reduction of 10,000 employees, a decision deemed necessary by CEO Satya Nadella at the time.

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Topics: Strategic HR, #Layoffs, #HRTech, #HRCommunity

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