Israeli Tech Giant Monday.com Cuts 20% of Global Workforce Amid AI Shift

Monday.com, a leading Israeli high-tech company, announced on Wednesday a significant global layoff affecting approximately 20% of its workforce. The company will let go of around 620 employees worldwide, including about 350 in Israel. This restructuring is part of an organizational change aimed at aligning the company with its evolving focus on artificial intelligence (AI).

The company stated that in recent months it has undertaken its largest product transformation ever, redesigning its platform around an AI-driven work vision. Monday.com emphasized that the advent of AI has fundamentally changed customer expectations and opened new market opportunities, which the company aims to capitalize on for future growth.

Monday.com clarified that the layoffs are not merely cost-cutting measures or a replacement of workers with AI but are intended to reallocate resources toward investing in employees, new product development, AI engines, and continued expansion. Co-CEOs Roy Man and Eran Zinman addressed employees in a letter explaining the rationale behind the move and assured that departing staff will receive support packages including financial assistance, accelerated stock vesting, continued health coverage, and emotional support.