Workday to Lay Off 1,750 Employees, Approximately 8.5% of Workforce

Workday has disclosed plans to reduce its workforce by approximately 1,750 positions, equating to around 8.5% of its employees, due to a weakened macroeconomic climate. The company will be shutting down specific office locations, with cost-saving measures anticipated to be finalized by the second quarter of fiscal 2026. CEO Carl Eschenbach emphasized that these layoffs are essential to steer resources towards artificial intelligence investments and broaden the company's international footprint. Affected employees in the U.S. will be provided a minimum of 12 weeks' salary, with extra compensation dependent on their length of service.