Dropbox announces major layoffs

Dropbox co-CEO Ashraf Alkarmi announced on Wednesday that the cloud-based storage company is laying off roughly nine percent of its global workforce.

Two hundred roles eliminated

Dropbox is eliminating roughly two hundred roles across Engineering, Product, Design, and G and A teams. For most impacted workers, Wednesday was their last day.

Why Dropbox is cutting staff

Alkarmi said the company is profitable but must concentrate resources on priorities with the greatest potential for customer impact and growth in its long-term strategy.

“Delivering on that strategy requires concentrating our resources on the priorities that will have the greatest potential for customer impact and growth.”

Chief technology officer departing

Chief technology officer Ali Dasdan is leaving Dropbox. His last day is November eighteenth, and he will focus on ensuring a smooth transition through next month.

Severance and support package

Departing workers receive sixteen weeks of pay plus one additional week for each completed year at Dropbox, Q four equity vesting, and prorated bonus payments.

Healthcare and additional benefits

U.S. employees receive six months of COBRA subsidy if eligible, Modern Health access through separation month, paid leave payments, and can keep one laptop and one mobile device.

Job placement and career support

Impacted employees are eligible for job placement services and career coaching at no cost. Immigration support is available for visa holders affected by the layoffs.