Zoom axes 1,300 staff, CEO decides to take 98% pay cut

NEW DELHI: Zoom on Tuesday announced that it will lay off about 1,300 employees, or approximately 15 per cent of its staff, becoming the latest tech company to announce significant job cuts.

In a message to employees on Zoom Blog, Zoom’s CEO Eric Yuan said the layoffs will impact every part of the organisation. “We have made the tough but necessary decision to reduce our team by approximately 15 per cent and say goodbye to around 1,300 hard-working, talented colleagues,” Eric Yuan wrote.

Yuan stated he and other executives will take a significant pay cut. In the message to employees, he admitted to making “mistakes” in how quickly the company grew during the pandemic. “As the CEO and founder of Zoom, I am accountable for these mistakes and the actions we take today- and I want to show accountability not just in words but in my own actions,” Eric Yuan wrote. “I am reducing my salary for the coming fiscal year by 98 per cent and foregoing my FY23 corporate bonus. Members of my executive leadership team will reduce their base salaries by 20 per cent for the coming fiscal year while also forfeiting their FY23 corporate bonuses.”