Zoom Video Communications shares climbed on Tuesday, after the video conferencing company announced plans to layoff around 15% of its global workforce.
The job cuts of 1,300 would be accompanied by a 98% pay cut for CEO Eric Yuan, who will also be giving up his fiscal 2023 bonus. Zoom's leadership team will also see their salaries get reduced by 20% for the coming fiscal year, and forego bonuses too.
'We have made the tough but necessary decision to reduce our team by approximately 15% and say goodbye to around 1,300 hardworking, talented colleagues," Yuan mentioned in a blog post . "I know this is a difficult message to hear, and certainly not one I ever wanted to deliver."