UKG CUTS 2,200 JOBS: WHAT THE CEO OF THE TECH COMPANY SAID IN EMAIL TO EMPLOYEES

US-based tech company UKG conducted mass layoffs this week, cutting an estimated 2,200 workers, or approximately 14% of its workforce. Company CEO Chris Todd sent an email to employees saying that the trimming of staff will help it focus on critical areas of growth.

Citing an email from the CEO, a report by Business Journal said that the company, which is one of the largest software developers in Massachusetts by local workforce, had 15,882 total employees as of June.

Job cuts "focused primarily in the US", says CEO

In his email, Todd said that he “originally planned to share these changes next week, however, due to news and speculation related to this action circulating internally, we chose to accelerate the timing to today.”

He said that the layoffs are “focused primarily in the US across all departments.”

As per a company spokesperson, the company “is implementing organisational changes that allow us to aggressively focus in critical areas of growth and support our long-term strategy.”

“While decisions that impact our team are not ones we come to lightly, these changes will allow us to redirect resources and invest in key areas of product innovation while enhancing how we support our customers,” the spokesperson noted.

“We are committed to supporting our colleagues through this transition,” the spokesperson added.

Previous job cuts at UKG

Last year, UKG cut about 265 roles, approximately 1.7% of its workforce, across the world.

Domenic Locapo, a spokesperson for UKG, wrote in an email that “a lot has changed in the world of workplace and HR technology since we formed UKG three years ago.”

“To capture the opportunity in front of us, we need to invest in the right areas. We realised that there are some areas where our teams had duplication, were not aligned with our future vision and roadmap, or places where we can be more efficient. By taking these actions, we are positioning UKG to continue to be successful into the future,” he said.

Formerly known as Kronos, the workforce software provider rebranded as UKG, or Ultimate Kronos Group, after completing a merger with Florida-based Ultimate Software in 2020.