SaaS firm Freshworks and finance influencer Sharan Hegde’s platform The 1% Club have announced layoffs.
Freshworks lays off 13% employees
SaaS firm Freshworks has laid off 13% of its staff in a move impacting about 660 employees globally to streamline its operations.
“In November 2024, the company committed to a restructuring plan to better align the company’s talent with its strategic priorities and to improve operating efficiency. The company estimates that this will result in an approximately 13% reduction in headcount and approximately $11-13 million in charges in the fourth quarter of 2024, consisting primarily of cash expenditures for separation-related payments, employee benefits and related costs,” Freshworks CEO Dennis Woodside wrote in a letter to employees.
The firm currently has a workforce of more than 5,000 employees. In September 2021, Freshworks became the first Indian SaaS company to be listed on Nasdaq.
The 1% Club lays off 15% employees
Finance influencer Sharan Hegde’s platform, The 1% Club, has cut 15% of its total workforce as part of a cost-cutting exercise.
Backed by Nitin Kamath, The 1% Club is generating around $8 million in annualised revenue with a 35-40% EBITDA, Hegde said in a LinkedIn post.
“Needless to say, when you grow at such lightning speed you are bound to make some mistakes with hiring and redundant expenses. This is our first cost-cutting exercise since inception. We have identified significant AI-driven cost savings that can boost profitability and efficiency which can be reinvested in the business growth,” he added.