Zoho Founder Sridhar Vembu Says Company Will Not Cut Workforce

What changed

Zoho founder Sridhar Vembu says his company has chosen not to reduce its workforce as artificial intelligence raises productivity and puts pressure on software companies’ operating costs.

His comments came after reports of layoffs at SaaS rival Airtable. The report provides no layoff count, timing or details about the teams affected.

Why it matters

Vembu is presenting Zoho’s decision as a deliberate choice: keep the workforce intact even when AI makes it possible to produce more with fewer people. That puts the focus on management judgment, not just on what the technology can do.

The practical question is whether Zoho can sustain that position while costs remain under pressure. If it can, the company will have a clear argument that AI-driven efficiency does not automatically require layoffs. If it cannot, the decision may prove harder to maintain than the statement suggests.

For now, the meaningful contrast is simple. Airtable’s layoffs are the backdrop; Zoho’s refusal to follow that path is the message.