Grammar lays off 230 employees as part of ‘business restructuring’

Image credits: grammatically

Grammarly announced this week that it will lay off 230 employees worldwide as part of a “business restructuring.” The layoffs are part of Grammarly’s efforts to focus on the AI-powered workplace of the future. says the company.

“To arrive at today’s decision, we looked at our organizational design and the current skill sets of our teams from a company strategy perspective,” Grammarly CEO Rahul Roy Chowdhury said in a memo to employees. Ta. “Increasing our focus on promoting an AI-enabled workplace and deepening our technology investments in AI will require a different mix of capabilities and skill sets. Organizations need to be redesigned to improve performance, which means, among other things, restructuring roles and co-locating certain teams.”

Roy Chowdhury went on to note that Grammarly’s financial position is “strong” and that the layoffs are not a cost-cutting measure. He said the layoffs will affect most of Grammarly’s departments and regions.

Affected employees will receive at least three months of base pay, along with health insurance benefits depending on their location.

The memo said Grammarly has grown its team from 200 to 1,000 employees over the past five years, and during that time the company has witnessed changes in the industry and global environment, including the Ukraine war and a “new era of AI.” ing. ” Roy Chowdhury says these changes are forcing the company to become more “strategic.”

“As for the future of Grammarly, we see tremendous opportunity as individuals and businesses everywhere begin to harness the power of AI,” said Roy-Chowdhury. “We will continue to build on this foundation and deliver even more value to our customers. AI will fundamentally change the workplace for the better, and Grammarly is leading the way in driving that change.” It will play a role.”

Grammarly is one of many technology companies that has cut jobs in the last month. A number of technology companies have made large-scale layoffs in just the past two weeks, including Google, Microsoft, Snapchat, eBay, PayPal, DocuSign, Okta, Block, Discord, Twitch, and Duolingo.

Back in November 2021, Grammarly raised $200 million in funding at a $13 billion valuation. At the time, Roy-Chowdhury told TechCrunch that the company plans to use the funding to continue investing in AI technology.