{"id":65286,"date":"2024-11-12T19:40:19","date_gmt":"2024-11-12T19:40:19","guid":{"rendered":"https:\/\/www.cxtoday.com\/?p=65286"},"modified":"2024-11-14T11:26:27","modified_gmt":"2024-11-14T11:26:27","slug":"zoho-ceo-on-freshworks-layoffs-this-is-naked-greed-nothing-less","status":"publish","type":"post","link":"https:\/\/www.cxtoday.com\/crm\/zoho-ceo-on-freshworks-layoffs-this-is-naked-greed-nothing-less\/","title":{"rendered":"Zoho CEO on Freshworks’ Layoffs: \u201cThis Is Naked Greed, Nothing Less\u201d"},"content":{"rendered":"

Sridhar Vembu, Founder & CEO of Zoho<\/strong>, has swiped at Freshworks over its latest round of layoffs.<\/p>\n

Last week, Zoho\u2019s CRM market rival cut 660 roles<\/a>, trimming its workforce by 13 percent.<\/p>\n

Freshworks shared the announcement during an earnings call with investors. There, it also revealed “strong” revenue growth of 22 percent year-over-year (YoY).<\/p>\n

Nevertheless, Dennis Woodside, CEO of Freshworks<\/strong>, justified the cuts as an attempt to “streamline” the company and fixate on its employee experience, AI, and customer experience businesses.<\/p>\n

Woodside described these areas as the company\u2019s three strategic imperatives.<\/p>\n

Additionally, he promised affected employees multiple forms of relief, including severance pay based on tenure, extended healthcare coverage, and even immigration support where needed.<\/p>\n

However, Vembu dealt a thinly-veiled blow to Freshworks.<\/p>\n

“This is naked greed, nothing less,” he said in a post on X.<\/p>\n

He also questioned the long-term impact of the move, noting: “[Freshworks] should not expect any loyalty from its employees ever.”<\/p>\n

From there, the CEO accuses Freshworks of lacking empathy, vision, and imagination in not finding an alternative solution.<\/p>\n

Closing up, he claimed that, as a private company, Zoho puts its customers and employees first, not the shareholders, who \u2013 in his opinion \u2013 should come last. The full post is available below.<\/p>\n

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A company that has $1 billion cash, which is about 1.5 times its annual revenue, and is actually still growing at a decent 20% rate and making a cash profit, laying off 12-13% of its workforce should not expect any loyalty from its employees ever. And to add insult to injury,\u2026<\/p>\n

\u2014 Sridhar Vembu (@svembu) November 7, 2024<\/a><\/p><\/blockquote>\n