- Intuit Inc. is planning to cut about 17% of its staff, equivalent to about 3,000 workers.
- The layoffs are expected to sharpen the company’s focus on its core priorities, including embedding AI capabilities across its services.
- As part of the restructuring, the company plans to shut down its office locations in Reno and Woodland Hill
Intuit Inc. is planning to cut about 17% of its staff, equivalent to about 3,000 workers, Reuters reported, citing an internal company memo from Chief Executive Officer Sasan Goodarzi. The software company's decisions are intended to reduce organisational complexity and accelerate its focus into artificial intelligence. An Intuit representative, though, refused to comment on the same.
On Wednesday, the CEO reportedly described the restructuring as a necessary step for the company to build stronger products, pointing to the need to strip away layers of complexity. The layoffs are expected to sharpen the company's focus on its core priorities, including embedding AI capabilities across its services, the memo stated.
Intuit was scheduled to report its third-quarter earnings report after market close on Wednesday. Following reports of the layoffs, Intuit shares dropped as much as 5.9% to $376 after trading got underway in New York, according to reports.
Intuit has entered separate multi-year partnerships with Anthropic and OpenAI to integrate their AI models into Intuit's products, Reuters report stated. The agreements are also expected to make Intuit's tax, accounting, financial and marketing tools available within Claude and ChatGPT platforms.
As part of the restructuring, the company plans to shut down its office locations in Reno and Woodland Hills. The memo reportedly stated that the closures are intended to consolidate teams into fewer central hubs and improve collaboration.
Before the cuts, Intuit's annual report showed a global workforce of approximately 18,200 employees across seven countries as of July 31, 2025.
The severance package for affected US-based employees will reportedly include 16 weeks of base pay, along with an additional two weeks for every year worked at the company. Employees impacted by the layoffs are expected to officially exit the company on July 31.
In July 2024, the company reduced 1,800 employees, or about 10% of its workforce. At the time, they stated that the move was not meant to cut costs but that it expected to re-hire the same number of employees in other areas.
It is worth noting that Intuit's announcement comes after a roster of companies have slashed their workforces this year. Among them are Meta $META +0.22%, Block $SQ NaN%, Amazon $AMZN +1.23%, and Pinterest $PINS -0.61% who have trimmed payrolls in 2026, with a number of those companies attributing the decisions to efficiency gains delivered by AI tools, Reuters noted.
