Atlassian to cut 1,600 jobs to focus on AI and enterprise growth

Atlassian to cut 1,600 jobs to focus on AI and enterprise growth — Businessinsider
Source: Businessinsider

Atlassian said it will cut about 1,600 jobs, roughly 10% of its global workforce, as the company restructures to focus on AI and enterprise growth. In a filing with the US Securities and Exchange Commission, the Sydney-headquartered company said the layoffs are part of a broader effort to reposition the business for what CEO Mike Cannon-Brookes described as the "AI era." About 30% of the affected roles are based in Australia.

In a message to employees, Cannon-Brookes acknowledged the growing influence of AI on the company's workforce needs. "It would be disingenuous to pretend AI doesn't change the mix of skills we need or the number of roles required in certain areas. It does," he wrote.

"I believe this is the right decision for Atlassian. But that doesn't mean it's easy. Far from it," Cannon-Brookes added. "I know this has a huge impact on each of you, and it weighs heavily on me and Atlassian today." Affected employees will receive a minimum 16-week severance package, along with extended healthcare benefits and prorated bonuses.

Australia, Sydney

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