Salesforce co-CEO Marc Benioff hints at more potential layoffs after this week’s job cuts

Marc Benioff, co-chief executive officer of Salesforce.com Inc., between panel sessions on day two of the World Economic Forum in Davos, Switzerland, on May 24, 2022.

According to people with knowledge of the matter, there was an all-hands meeting on Thursday that indicated that more downsizing could be on the way.

The virtual meeting came a day after the company said it was cutting 10% of its workforce. Amazon said it would reduce its workforce by 18,000. Tech companies are cutting their workforce for the first time in years because of slowing growth and a potential recession.

Two people who attended by video were told by Benioff that half of the account executives brought in more than 85% of deals. A person said that the meeting ran for over two hours.

New account executives were to blame for the lack of productivity, according to one attendee.

Fortune was reporting on the meeting.

The years leading up to the Pandemic had a rapid expansion of the company. The company grew through large acquisitions.

As it faces an activist investor concerned about operating leverage, the company is retrenching. The co-CEO, who was seen as the heir apparent, unexpectedly left the company in November. He is leaving at the end of the month.

Last month, Benioff asked for ways to make new staffers more productive. The media reported on his comments during Thursday's meeting.

One attendee said that Benioff said that one of their core values was trust.

A person said that Benioff took a long time to respond to a question.

A request for comment was not responded to by the company.

Jim Cramer says there will be more tech layoffs in the near future.