Chargebee Technologies Ltd. has fired 10% of its workforce, becoming the latest in a series of venture capital-backed companies to cut jobs in a tough macroeconomic environment.
The decision was not made lightly and was actioned by the “economic situation and lack of visibility into the future”, said Krish Subramanian, co-founder and chief executive officer at the San Francisco and Chennai-based startup.
Subramanian, in a LinkedIn post late on Wednesday, said he was driven by external market forces as well as the need to address the operational debt that have accumulated in the last few years. Macroeconomic factors began impacting public companies and the financing environment from the start of second quarter, he said.
“We changed our hiring plan to align with priorities and started implementing stricter fiscal discipline to reorient the company towards long-term sustainability,” Subramanian said. “Since then, the global economic environment has continued to be uncertain — but it is clear that this new reality will require companies to move toward profitability at an accelerated pace.”