A San Francisco Bay Area tech company marked its successful third-quarter results with hundreds of layoffs, including at least 90 jobs at a Peninsula office, according to documents filed with the state of California.
Informatica said in a Wednesday statement it had increased revenues, gained customers, expanded partnerships with Google and Oracle, and privately launched its Claire-GPT data-management cloud service interface.
But the company also announced "restructuring" that would cut 10% of the staff, permanently laying off 545 employees, including 90 roles in Redwood City, according to a letter sent to the California Department of Employment Development that cites "changing business needs." Those layoffs will be complete by Dec. 31, the letter added.
Those needs, coming from what the company called a "cloud-only, consumption-driven" strategy it began in January, will also cut its global real estate, saving an estimated $35 million to $45 million.
The company has named the cuts "the November Plan," which will be completed by next year's third quarter for a cost savings of about $84 million.
"Informatica is taking a final step of our transformation to an AI-powered cloud company," a spokesperson told The Standard on Monday. "The company took a difficult action on Nov. 1 and implemented a global restructuring of their global workforce to align business efficiencies and focus on long-term success."
"Our next phase of growth allows us to further streamline our global cost structure without reducing our growth expectations," Informatica CEO Amit Walia said in Wednesday's statement.
Walia added that the company would share more details at its investor day, scheduled for Dec. 5.
Last Tuesday, one day before the layoffs, the company also announced a share buyback authorization of up to $200 million of its own stock.
In late September, Bay Area technology companies announced hundreds of layoffs in five cities. Notably, Cisco Systems Inc. laid off hundreds of workers in two San Francisco Bay Area cities.
Earlier in October, California tech giant Qualcomm announced it was laying off 1,258 California workers—including almost 200 in the Bay Area, according to California Employment Development Department documents known as WARN notices.