Twilio, a customer engagement platform has announced that it is laying off 17 per cent or around 1,500 employees from its workforce. 

Previously in September 2022, the company laid off around 11 per cent of its workforce as part of its restructuring plan.

"At that time, we sought to streamline the company as it was then structured. Today's news, however, is more driven by the need to organize ourselves differently for success – and the changes needed to enact this new structure. Both the reorganisation and the reductions increase our ability to drive profit and growth, both of which are required in this new environment," said the company in their blog post.

Twilio had about 8,118 employees as per its LinkedIn page.

The chief executive officer (CEO) of Twilio Jeff Lawson announced that Twilio is forming two business units to help the company spend less and become more efficient. One unit, Twilio Data and Applications led by Elena Donio, and the second unit, Twilio Communications led by Khozema Shipchandler. 

Lawson further said that when executives were looking at these two business units, it was clear the company had gotten “too big”, particularly in communications.

“It is painful to part ways with so many talented people – but it’s necessary to get our two businesses into the right shape to succeed,” he said.

The company has announced a severance package for both its employees in the US and outside. the impacted employees with get 12 weeks of base pay, plus one week for every year of completed service at Twilio among other benefits. Twilio also mentioned about the range of employment laws outside the US and said that we’ll take great care to guide these Twilions and their managers through these processes, such as required consultation periods.