The sponsored job volume output of Indeed has decreased to 33%, while the total job vacancies have fallen by 3.5%, making the company join the layoff wave.
Heaptalk, Jakarta — The United States-based job search platform, Indeed has retrenched employees of approximately 2,200 people or representing 15% of the entire team. The job cuts come from every team, function, level, and region at Indeed and Indeed Flex.
The company emailed the employees about their job status within an hour of this announcement. The subject lines of these emails either read “Your position has been eliminated” or “Your position has not been impacted.” Meanwhile, Indeed’s employees outside the United Kingdom, Ireland, the Netherlands, and Japan are anticipated to wait longer due to local regulations.
As delivered on the official website, the Chief Executive Officer of Indeed, Chris Hyams, revealed a downward trend influencing the layoff resolution in demand for sponsored work and a more difficult job market. Further, Hyams elaborated that the sponsored job volume output has decreased to 33%, while the total job vacancies have fallen by 3.5%.
“We focused on preparing the organization for the future, aligning with our strategy and priorities, and reducing duplication of effort and inefficiency. The specific decision on who where to cut was extremely difficult, but they were made carefully. We worked closely with HR, Legal, and DEIB+ to ensure objectivity and equity in this decision. ” Hyams said.
Regarding the impacted employees, Chris affirmed to provide severance packages based on role and location. Following the severance agreement employees, they will receive 16 weeks of base salary or two weeks for every year of service, four months of COBRA for the US only, compensation for accrued PTO, a cash payout equivalent to the employees’ RSUs that have not vested, and access to career placement and mental health services.
On the other hand, the affected employees can keep their laptops, which will be immediately disconnected from the Indeed business system. However, they can still access Slack, email, and workday access to enable people to say bye to their colleagues and remove personal materials from their laptops due to these facilities will not be immediately impacted.
Also, as a part of the support for the impacted team, CEO Hyams affirmed, “I will be taking a 25% cut in base pay. Additionally, more than 75% of my total compensation is directly tied to Indeed revenue growth and is at risk, given the current trends. We will be instituting additional forward, which I will outline tomorrow,”
