Atlassian CEO Mike Cannon-Brookes has announced that 150 employees will lose their jobs, particularly in customer service and support.
The CEO delivered the layoff message last week in a pre-recorded video. Affected employees had to wait 15 minutes after the video before receiving an email informing them whether they were among those being laid off. In the hours that followed, affected employees were locked out of their laptops.
According to Cannon-Brookes, specific roles are disappearing as part of the company’s shift toward AI-driven efficiency. Customer service is seen as an area that AI can take over. Atlassian employs over 12,000 people, to put things into perspective.
Atlassian has promised to continue paying the laid-off employees for the next six months. The software developer is taking this opportunity to integrate AI technology more directly into its business operations.
In an email, Atlassian shares with Techzine, “We made this decision after implementing improvements to the customer experience across our platform and tools, resulting in a significant reduction in support needs. While we’re proud of this momentum, it leaves us with more capacity than needed to deliver strong customer support.” However, it adds, “these roles are not being replaced by AI”.
Billionaire with contradictions
Cannon-Brookes’ decision comes at a time when there is controversy surrounding his investments. The CEO, with an estimated net worth of more than $10 billion, has recently invested in eco-friendly projects, including an ambitious plan for an undersea cable between Darwin and Singapore to supply solar-generated electricity.
At the same time, Cannon-Brookes recently purchased a private jet worth more than $75 million (€64.8 million). He defended the purchase by stating that the plane helps him be a constant father while running a global company from Australia.