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Atlassian to Cut 1,600 Jobs, About 10% of Staff, in AI-Focused Reorganization

The company says the restructuring will self-fund AI investments to strengthen its finances.

Overview

  • About 30% of the affected roles are in Australia, with significant reductions also in North America and India.
  • Atlassian estimates $225 million to $236 million in one-time charges related to severance and other costs, according to an SEC filing.
  • The company aims to complete the workforce reduction by the start of its fourth fiscal quarter.
  • Reports citing The Guardian say roughly 900 of the eliminations are developer and other software roles, including about 640 in North America, 480 in Australia, and 250 in India.
  • CTO Rajeev Rajan is reported to be departing at the end of March, as the company contends with a share-price slide of more than 50% this year and ongoing losses since 2017.