Photo: Erik McGregor/LightRocket via Getty Images

Salesforce announced on Wednesday it is cutting roughly 1,000 jobs, though it said it continues to hire for some growth areas.

Why it matters: The move comes just a day after the company announced blowout earnings and raised its guidance, sending shares up 26% on Wednesday. Salesforce had also pledged in March not to lay off employees for at least 90 days, but that was five months ago.

Between the lines: If even tech companies that are doing well are pruning their ranks, these cuts could portend widespread job losses in the coming months, with steeper losses at those companies whose business has been more directly hit by the pandemic.

What they're saying: "We're reallocating resources to position the company for continued growth. This includes continuing to hire and redirecting some employees to fuel our strategic areas, and eliminating some positions that no longer map to our business priorities," a Salesforce statement said.

Go deeper

Exclusive: $1 billion-plus riot damage is most expensive in insurance history

Reproduced from Insurance Information Institute; Table: Axios Visuals

The vandalism and looting following the death of George Floyd at the hands of the Minneapolis police will cost the insurance industry more than any other violent demonstrations in recent history, Axios has learned.

Why it matters: The protests that took place in 140 U.S. cities this spring were mostly peaceful, but the arson, vandalism and looting that did occur will result in at least $1 billion to $2 billion of paid insurance claims — eclipsing the record set in Los Angeles in 1992 after the acquittal of the police officers who brutalized Rodney King.

Updated 4 mins ago - Politics & Policy

Coronavirus dashboard

Illustration: Aïda Amer/Axios

  1. Global: Total confirmed cases as of 10:30 a.m. ET: 33,417,386 — Total deaths: 1,002,864 — Total recoveries: 23,193,238Map.
  2. U.S.: Total confirmed cases as of 10:30 a.m. ET: 7,150,824 — Total deaths: 205,107 — Total recoveries: 2,794,608 — Total tests: 102,342,416Map.
  3. Health: Americans won't take Trump's word on the vaccine, Axios-Ipsos poll finds.
  4. Media: Fauci: Some of what Fox News reports about COVID-19 is "outlandish"
  5. States: Cuomo extends New York moratorium on evictions until 2021.
  6. World: More than 1 million people have now died from coronavirus — India the second country after U.S. to hit 6 million cases.

Get Axios AM in your inbox

Catch up on coronavirus stories and special reports, curated by Mike Allen everyday

Please enter a valid email.

Subscription failed
Thank you for subscribing!