Microsoft-owned professional network LinkedIn has announced that it will be laying off about 960 employees, or 6% of its workforce, around the world.
The move, the company said, is being taken due to the impact of the novel coronavirus (COVID-19) crisis, which has already affected thousands of jobs at start-ups like OYO Rooms, Uber, Ola, Swiggy, and Zomato.
Demand for LinkedIn's recruitment products reduced: CEO Ryan Roslansky
In a recent note to LinkedIn employees, CEO Ryan Roslansky announced the job cut, noting that COVID-19 has severely hit the demand of the company's recruitment products.
"LinkedIn is not immune to the effects of the global pandemic," Roslansky said. "Our Talent Solutions business continues to be impacted as fewer companies, including ours, need to hire at the same volume they did previously."
Roslansky claimed that the role reduction exercise will be carried out only across LinkedIn's Global Sales and Talent Acquisition divisions.
He emphasized that this challenging decision will help them focus efforts, resources on the "most strategic priorities" and set up the company to continue to adapt and accelerate "for success today—and well into the future."
Notably, the affected employees are yet to be informed.
Affected employees will get minimum 10 weeks of severance pay
All the employees who will be laid off will be given at least 10 weeks of severance pay by LinkedIn, along with year-long health insurance and the option to keep company-provided laptops, phones, and other equipment.
Beyond that, the company will also provide them access to several career advancement tools to help them with the job search process.
"As we invest in our most strategic areas for growth, we will be hiring for newly-created roles across the company, and we will work with employees impacted by today's announcement to explore these opportunities," Roslansky assured the affected staff.