Grammarly, a Ukraine-founded platform for improving written English, has announced the layoff of about 230 team members worldwide, 37 of which are in Ukraine. The company told AIN.Capital the details.
- Grammarly promises to support everyone affected by the layoffs.
- In particular, each member of the Ukrainian team will receive a 6-month compensation, as well as additional payments for health insurance and assistance services for changing jobs (career coaching and others).
- Also, team members affected by the layoff will be able to keep laptops and other company-issued equipment.
The layoffs come as part of Grammarly’s business restructuring to strengthen the company’s focus on the AI-enabled workplace of the future. It is also noted that the restructuring is not related to the need to optimize costs, Grammarly’s business remains profitable and continues to grow.
“In order to make today’s decision, we analyzed our organizational structure and the current skills of our teams through the lens of our company’s strategy. As we deepen our investment in AI technologies, we will need a different mix of capabilities and competencies. We also need to carry out an organizational redesign to improve the quality and speed of collaboration — and this, in particular, means the need to restructure roles and combine certain teams within one location,”
Grammarly commented.
Why is it important?
Major layoffs definitely aren’t new to tech ecosystems worldwide. Following massive hires during the period of 2019-2022, the human resources market currently experiences oversaturation further intensified by similar restructuring and optimization processes inside big tech companies.
In January alone, for example, there were around 23,670 layoffs at 85 technology companies across the globe, which is the highest number since March 2023.
