"I take responsibility for choosing to grow our team faster... And now, I also own the decision to become more focused - resulting in this layoff," says CEO Jeff Lawson.
Fired employees' compensation; upwards of $70 million in cash outlays
Twilio said the 11 percent reduction in its employee headcount will cost between $70 million and $90 million in charges.
This roughly $80 million cost figure consists of cash expenditures for employee transition, notice period and severance payments, employee benefits, and related facilitation costs, as well as non-cash expenditures related to vesting of share-based awards.
Of this amount, $55 million to $70 million is expected to result in future cash outlays.
All Twilio employees who are fired will receive "at least" 12 weeks of pay, plus one week for every year of service at Twilio.
"You'll also receive the full value of Twilio's next stock vest because the Twilions who are leaving us are shareholders too - which is important to us," said Lawson in his a letter to employees.
