Code42 has announced significant impacts to its employee base, citing economic struggles from the COVID-19 pandemic. Second quarter salaries have been reduced, 25 positions were “eliminated,” and 10 team members were furloughed.
Joe Payne,the Minneapolis software company’s president and CEO, briefly discussed the decisions in a statement.
“The economic impact of the COVID-19 pandemic is forcing companies everywhere to reassess priorities and realign global resources. Yesterday, Code42 took actions given the changing business climate. We reduced salaries during the second quarter, eliminated 25 positions and furloughed 10 team members,” Payne said. “These actions are in no way a reflection of the work of our talented team, but of the changing nature of the world around us. While we are committed to weathering this storm, we recognize that we are impacting lives, and we are providing a level of benefits to help those impacted through this economic and health crisis.”
We’ve reached out to the company for any information on a possible hire-back program for those affected and the nature of the furloughs.
UPDATE: When asked about hiring back employees, the benefits offered to those affected, the nature of the furloughs, and clarity on the salary reductions, a spokesperson for Code42 said, “The information we have to share was included in the comment.”