Financial Software Company Bill Holdings Inc. Announces Workforce Reduction

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Financial-software company Bill Holdings Inc. has made the decision to lay off 15% of its employees in an effort to “rightsize” the organization. Alongside the job cuts, Bill will also be closing its Sydney, Australia office and consolidating other locations. The announcement of these moves was made by Chief Executive René Lacerte in a letter to employees, which was later posted on the website.

At the end of June, San Jose, Calif.-based Bill had a workforce of approximately 2,520 individuals, meaning that the number of layoffs will reach around 378 people.

The decision to downsize comes after Bill’s shares suffered a significant drop of about 30% last month. The disappointing earnings report and the reduction in its full-year sales outlook contributed to this decline. Chief Financial Officer John Rettig attributed the decrease to a “challenging” macroeconomic climate.

Lacerte mentioned in the memo to employees that he has always recognized that success is not achieved overnight. “Creating a category and defining a market takes time,” stated Lacerte, acknowledging that adaptation and change are necessary for progress on their mission.

Expanding on the reason behind the layoff decision, Lacerte added, “The actions announced today position Bill to deliver improved profitability without relying on interest-rate dependent float revenue.”

Over the past three months, Bill shares have experienced a significant decline of 41%. Year to date, they have dropped about 36%.

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