More than half of the 325 jobs that Splunk Inc. is eliminating will come from the company's Bay Area operations, according to a letter the company sent to California officials earlier this month.
The enterprise software company plans to lay off 174 local employees, most of whom are based at its San Francisco headquarters and San Jose office, Mini Khroad, Splunk's vice president for people operations, detailed in a letter to California's Employment Development Department. The letter, which was released Tuesday, was dated Feb. 1 — the same day Splunk CEO Gary Steele previously said was when affected employees were informed about the layoffs. The jobs will be eliminated beginning April 3, the letter to EDD said.73 employees at 500 Santana Row, San JoseThe letter to EDD detailed Splunk's announcement earlier this month that it planned to cut 4% of its approximately 8,000-person staff, or roughly 325 employees, mainly in North America.
"This decision is another step in a broader set of proactive organizational and strategic changes that include optimizing our processes, cost structure and how we operate globally to ensure Splunk continues to balance growth with profitability through these uncertain times and drive success over the long term,"When contacted for additional comment Tuesday, Splunk spokeswoman Mara Mort pointed the Business Journal to the CEO's letter and declined to comment further.
Shares of Splunk gained 27% in the past three months. The stock was roughly flat in Tuesday trading at $106.91.