Identity and access management giant Okta announced this week that it is laying off about 7% of its workforce, or 400 employees.
The layoffs hit workers in the Pacific Northwest, including Seattle and Portland, according to posts from impacted employees. We’ve reached out to Okta for more details.
Okta acquired Seattle-area unicorn Auth0 for $6.5 billion in 2022, one of the largest acquisitions in Seattle tech history.
Last year, Okta closed the Auth0 headquarters, consolidating employees into the Okta office in Bellevue, Wash.
Auth0 co-founders Eugenio Pace and Matias Woloski remain at Okta in exec roles.
In a SEC filing, Okta said the layoffs are part of a “restructuring plan intended to improve operating efficiencies and strengthen the Company’s commitment to profitable growth.”
In a message to employees, Okta CEO Todd McKinnon said “we need to be mindful of our overall spend so we can continue to invest in the areas, products, and routes to market with the most opportunity.”
Okta previously laid off employees in February 2023.
Layoffs continue to hit the tech industry after more than 260,000 tech workers lost their jobs in 2023.
Okta shares are down about 3% this week. The company reported revenue of $584 million in its most recent quarter, up 21%.
