Intuit (NASDAQ: INTU) is cutting roughly 3,000 employees — about 17% of its global workforce — as CEO Sasan Goodarzi bets that flattening the company’s structure and pouring resources into artificial intelligence will sharpen its edge faster than legacy headcount ever could. Shares fell nearly 4% in morning trading after the announcement.
Goodarzi told staff in an email that the reductions were about deliberate simplification, including fewer management layers, cleaner operations, and better products delivered at speed. The company had about 18,200 employees across seven countries as of July 31, making the cut one of the larger headcount actions in Intuit’s history.
The AI push comes amid Intuit recently signing multi-year deals with both Anthropic and OpenAI to embed their models across its services, while also weaving Intuit’s own tax, finance, accounting, and marketing capabilities directly into Claude and ChatGPT. Goodarzi framed those partnerships as the reason for reorganizing the workforce now — with fewer layers, the company can push those integrations harder and faster.
Beyond headcount, Intuit is winding down its offices in Reno and Woodland Hills, consolidating into what it calls key hubs. Affected U.S. employees will work through July 31. Severance is set at 16 weeks of base pay, with two additional weeks added for each year of tenure, making it one of the more detailed exit packages disclosed in a year when many companies have stayed quiet on terms.
Intuit is not alone in the trend. Block, Amazon, and Pinterest have all announced workforce cuts this year, and the toll across the sector has been steep. Layoffs.fyi has tracked more than 111,000 job cuts across over 140 tech companies, with the running total reaching approximately 124,636. At the World Economic Forum’s annual meeting in January, two executives warned that AI would serve as cover for companies that had already decided to reduce headcount — a charge that hangs a little more visibly over Intuit than most, given how explicitly Goodarzi tied the two together.
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