Dropbox Inc. co-founder Drew Houston expects Dropbox (DBX) to appear on the company’s initial public offering (IPO) at the Nasdaq Market Site in New York, USA, on March 23, 2018.
Lucas Jackson | Reuters
Dropbox is reducing its global workforce by about 11%, the company said in an 8K presentation released Wednesday. Dropbox shares fell more than 3.5% in the morning.
The transfer will affect 315 people, who will be notified at the end of the working day.
“The steps we’re taking today are painful, but necessary,” Dropbox CEO Drew Houston said Wednesday. Dropbox is committed to preserving job security until 2020, but Houston said that, looking ahead to this year, “it’s clear we need to make changes to create a healthy, prosperous business for the future.”
The company said the job cuts will help it focus on its top priorities for the year, which include evolving Dropbox’s core experience, investing in new products, and boosting operational excellence.
Dropbox in October moved to a standard remote work policy, which will exist even after the Covid-19 pandemic ends. For employees who need to meet or work together in person, the company said it will open “Dropbox Studios” in San Francisco, Seattle, Austin and Dublin when it is safe.
“Our recent decisions about our new leadership structure and our remote work policy have put us on the right track and now we need to make sure our teams and investments align as well. For example, our Virtual First’s policy means we need fewer resources to support our office environment, so we reduce that investment and redistribute those resources to drive our ambitious product roadmap, ”Houston said.
Dropbox also announced that Chief Operating Officer Olivia Nottebohm will leave the company on February 5th.
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