Zoho Addresses Allegations of Mass Layoffs, Confirms Severe Reduction in Workforce
Zoho Denies Layoffs Amid Claims of 300 Employees Let Go
Cloud-based enterprise software company Zoho has refuted allegations that it laid off around 300 employees without prior notice. The claims, which surfaced on the Blind app, sparked widespread attention due to Zoho's long-standing no-layoff policy, which has remained unbroken for three decades.
According to reports, a post on the Blind app claimed that nearly 300 trainees were suddenly let go, allegedly linked to internal discussions about replacing senior staff with trainees. The post also highlighted personal concerns, stating that the staffer had chosen Zoho over other offers due to its perceived stability. However, the company clarified that the post confused its internship programme with full-time employment.
Zoho stated that no full-time employees were laid off, and that the post in question appears to conflate its internship programme with employment. The company's internship programme is a learning engagement that does not automatically guarantee a full-time role. In fact, over 30% of candidates from the 2026 intern cohort have already received offers or are currently under evaluation for full-time employment.
Read also: Treasury Yields Experience Largest Increase in Two Weeks Following Release of Labor Market Data
| Company | Internship Cohort | Percentage Offered Full-Time Employment |
|---|---|---|
| Zoho | 2026 | 30% |
Zoho's Associate Director - Talent Acquisition and Global HR Operations, Mohammed Sohail, explained that describing interns who were not offered a position as 'laid off' is factually incorrect. Interns who demonstrated exceptional ability have been or will be absorbed into the company, while others will complete their internships as scheduled and will be free to apply for other jobs.
The allegation drew attention because Zoho has maintained its no-layoffs stance even during challenging periods, including the Covid-19 phase and the recent AI-driven industry changes. This made the claim particularly surprising and widely discussed online.
Investor Takeaway
Zoho's no-layoff policy remains intact, but the company has confirmed a severe reduction in workforce.
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