Nearly 8.5% of staffers will be affected, joining the ranks of Salesforce and Klarna in paving a new way of work.

However, the layoffs will make Workday’s fourth quarter operating margin under Generally Accepted Accounting Principles (GAAP) 22 to 23 percentage points lower than its fourth quarter non-GAAP operating margin and its fiscal 2025 full-year GAAP operating margin 21 percentage points lower than its full-year non-GAAP operating margin.

Enterprise resource planning software company Workday Inc. announced today that it will cut around 8.5%, or 1,760 jobs, from its workforce as part of a push for growth and increasing investments in artificial intelligence.