On Tuesday, Automattic CEO Matt Mullenweg shocked the WordPress community with the announcement of layoffs affecting 281 employees, which represents 16% of the company’s workforce. Employees received notice through an internal message before the public announcement was made on Automattic’s website. Despite reported revenue growth, Mullenweg cited competitive pressures and rapid technological changes as reasons for this restructuring.
Those affected by the layoffs will receive severance packages, will keep their company laptops, and will have access to job placement resources.
The layoffs stirred particularly strong reactions, fueled by existing frustrations with Mullenweg, as well as widespread support for the employees being let go. Social media platforms were bustling with responses from current and former employees sharing their thoughts on the situation.
Employee Reactions
On LinkedIn, Oli Griffiths, a Senior Principal PHP Engineer at Tumblr, expressed disappointment in the severance packages, indicating they were not nearly as generous as those offered last year to employees who left voluntarily. Kellie Peterson, an admin for an Automattic Alumni Slack group, criticized Mullenweg’s leadership and encouraged companies to consider employing those now available due to the layoffs. Meanwhile, Christopher S., a developer at Automattic, voiced his surprise at being included in the cuts.
Community Support
As the news spread, members of the WordPress community quickly began posting job opportunities for those impacted. According to Oliver Sild, CEO of Patchstack, they are actively searching for PHP/Laravel developers with WordPress experience.
Insight from Within
Anne McCarthy, a long-time Automattic employee, wrote a blog post titled “Learn about those impacted by Automattic’s Workforce Reduction,” providing context about the skill sets of affected employees. She characterized her former colleagues as adaptable, creative problem solvers who take ownership of their work and expressed willingness to help them find new opportunities. Her post also invites hiring managers to reach out with openings.
Market Conditions
The transition for affected employees is occurring amidst a challenging job market, particularly in the U.S., where hundreds of thousands of federal positions have been cut. The contracting job market will likely intensify competition for tech roles, even among specialized talent like WordPress developers.
Future Outlook
The announcement indicated that affected employees would receive a comprehensive severance and benefits package, job placement assistance, and retain their company laptops. McCarthy’s blog suggested she would assist in job searches by sharing open positions.
Mullenweg stated that he believes Automattic will emerge from this restructuring in a stronger position, focusing on being profitable and effectively increasing its contribution to democratizing the internet. As these layoffs unfold across 90 countries, those affected are faced with navigating a significant career transition while the tech community closely monitors the corporation’s restructuring efforts.
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