Nutanix will furlough at least 1,500 employees, or 24% of its workforce, due to the COVID-19 crisis (NTNX)
* Nutanix, the enterprise software maker, is furloughing at least 24% of its employees due to the impact of the COVID-19 crisis.
* Nutanix has notified the state of California that it plans to furlough about 1,500 in the state. The company did not disclose how many employees outside California and in other countries will be affected.
* The Silicon Valley tech company said US employees will take two week-long unpaid furloughs in the next six months. Employees outside the US will take two weeks of unpaid leave also in the next six months.
* The affected employees will keep their benefits and remain employed by Nutanix, Jennifer Massaro, a company senior director, told Business Insider.
* Nutanix this week withdrew its financial outlook for its current fiscal year which ends in July, citing "uncertainties arising from the COVID-19 pandemic."
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Nutanix will furlough many of its employees as the enterprise software company reels from the COVID-19 crisis.
The San Jose-based company is furloughing at least 1,500 employees in California, according to a Worker Adjustment and Retraining, or WARN notice, filed with the state. That's nearly a quarter — about 24% — of the its 6,100 employees worldwide.
Nutanix has not disclosed the number of employees that it is furloughing outside California, Jennifer Massaro, a senior public relations director, told Business Insider.
Affected US employees will take two week-long unpaid furloughs in the next six months, the company said. Employees outside the US will also be asked to take two weeks of voluntary unpaid leave in the next six months.
"I can confirm that the number included in the WARN notice includes senior executives at our San Jose headquarters," Massaro said.
The furloughs were first reported by CRN.
"Our philosophy as we navigate the COVID-19 pandemic is to do the 'most good' with the least amount of harm for all of our employees, and these actions will help us achieve that," Massaro added.
The affected employees will keep their benefits and remain employed by Nutanix, she said.
On Monday, Nutanix, which provides software that makes it easier for companies to manage their networks in the cloud and in private data centers, withdrew its financial outlook for its fiscal year which ends in July citing the "uncertainties arising from the COVID-19 pandemic."
The company is expected to report its quarterly earnings on May 27.
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SEE ALSO: $3.4 billion cloud company Nutanix was founded in the midst of the Great Recession. Here's how its CEO plans to steer it through another crisis as coronavirus takes its toll on its business
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