Today, Grammarly announced a business restructuring to advance our focus on the AI-enabled workplace of the future. As part of this restructuring, we’ve made the difficult decision to lay off approximately 230 members of our global team. We recognize the impact of this decision, particularly on those who will no longer be working with Grammarly. The company is committed to supporting them through this transition.
This decision supports Grammarly’s vision of bringing responsible AI writing assistance to people and workplaces everywhere. Millions of people and thousands of businesses use Grammarly to achieve more through better writing. People at 96% of the Fortune 500 already rely on Grammarly, with organizations saving an average of 19 working days per employee annually in lost productivity. We remain focused on helping people and companies communicate more effectively.
Our business is growing and remains profitable, and we’re continuing to hire across a variety of functions and roles globally.
Below is a message that our CEO, Rahul Roy-Chowdhury, shared with Grammarly team members today.
Today, I announced the difficult decision to lay off part of our global team as we restructure for continued success in the future. I recognize the impact of this decision, particularly on those who will no longer be working with Grammarly. I want to share some details on how we got here, the support we’re providing for those who are leaving, and what comes next for us as a company.
Restructuring Grammarly for continued success
Grammarly has spent the last 15 years building and improving our AI-powered writing assistance for millions of people around the world. Over the past five years, we’ve grown our team from 200 to 1,000 team members while running a profitable business.
In that time, Grammarly has also seen—and weathered—changes in our industry and the global environment, including a global pandemic, the war in Ukraine, and a new age of AI. Changes like these have challenged us to be more strategic and focused on the opportunities ahead—and they’ve also propelled our mission and product forward.
To arrive at today’s decision, we took a look at our organizational design and the current skillsets of our teams through the lens of our company strategy. As we strengthen our focus toward driving the AI-enabled workplace and deepen our technical investments in AI, we will need a different mix of capabilities and skillsets. We also need to redesign our organization to improve the quality and speed of collaboration — and that means, among other things, restructuring roles and co-locating certain teams. This is not a cost-cutting exercise. Grammarly’s financial position is, and remains, strong.
Support for our departing team members
This layoff affects most Grammarly functions and geographies. It’s of the utmost importance to me that we treat our departing team members respectfully and in ways that reflect Grammarly’s EAGER values.
Here is just some of the support we’re providing to impacted team members globally:
- A minimum of 3 months’ base pay; more for team members with longer tenures
- Health insurance benefits as applicable to team member location, including the option for 6 months of health insurance continuation for US-based team members
Grammarly is also here to help these talented team members find new opportunities. That includes:
- Providing stipends or access to services for individualized career coaching, resume review, and other transition services
- Launching a public-facing “available talent” list on which departing team members can opt to have their names, specialties, and key results shared with potential future employers
- Departing team members can keep their Grammarly-issued laptops for personal use
What’s next for Grammarly
As for Grammarly’s future: We see massive opportunity as every individual and business begins to harness the power of AI. For nearly 15 years, we’ve been building a product that helps millions of people every day, makes teams measurably more productive, and is already used by employees in 96% of the Fortune 500. We’ll build on this foundation to bring even more value to our customers. AI will fundamentally change the workplace for the better—and Grammarly will play a leading role in driving that change.
Thank you to all departing Grammarlians who’ve invested their time and energy into this company. And thank you to our entire team for your extended empathy and consideration of one another as we work through this change.