Employment Law

Grammarly laying off 230 workers, deepening investments in AI

A photo of a person typing on a laptop. (Photo: Kaitlyn Baker / Unsplash)

Grammarly, the cloud-based writing assistant, is eliminating approximately 230 jobs as it restructures its business.

What’s going on at Grammarly?

CEO Rahul Roy-Chowdhury told staff in a recent memo that the restructuring will help the company “strengthen our focus toward driving the AI-enabled workplace and deepen our technical investments in AI.”

“This is not a cost-cutting exercise. Grammarly’s financial position is, and remains, strong.”

Roy-Chowdhury added that the job cuts will affect most functions and geographies.

The company claims on its website that it employs a total workforce of more than 1,000 people.

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Impact on Canadian staff

It remains unclear if any Canadian employees at Grammarly have been let go.

The company has more than 70 workers in the country, according to its LinkedIn page.

Severance offers for Grammarly employees

While Roy-Chowdhury said laid-off staff at Grammarly will receive a “minimum of 3 months’ base pay”, Canadian workers who are let go could be owed as much as 24 months of severance pay.

In Canada, non-unionized employees at the tech company are entitled to full severance when they lose their jobs due to downsizing, corporate restructuring, or the closure of the business.

This includes non-unionized individuals working full-time, part-time, or hourly in B.C., Alberta, and Ontario.

The amount of compensation you are owed is calculated using a variety of factors, including age, length of service, position at the company, and your ability to find new work.

WATCH: Employment lawyer Lior Samfiru explains what rights employees have if they are being fired or let go on an episode of the Employment Law Show.

Before accepting a severance offer, double-check the amount using our firm’s free Severance Pay Calculator. It has helped millions of Canadians determine their entitlements.

In addition to your salary, make sure to factor in any other elements of your compensation (i.e. bonuses, commission, etc.).

If your employer’s offer falls short of what our Severance Pay Calculator says you are owed, it’s very likely that you have been wrongfully dismissed and should contact an experienced employment lawyer at Samfiru Tumarkin LLP.

Non-unionized employees in Canada have up to two years from the date of their dismissal to pursue proper severance pay.

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Rights to severance for tech sector staff
• Rights to severance during mass layoffs

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Major tech layoffs continue

The job cuts at Grammarly come amid a flurry of tech sector layoffs in 2024.

Big names, including Amazon, DocuSign, Snap, Zoom, Okta, PayPal, Salesforce, Microsoft, eBay, Wayfair, YouTube, Google, Instagram, and Discord, have also pulled out the axe as they continue to navigate challenging economic conditions.

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Lost your job? Talk to an employment lawyer

If you have been fired or let go for any reason, contact the experienced employment law team at Samfiru Tumarkin LLP.

Our lawyers in B.C., Alberta, and Ontario have successfully represented tens of thousands of non-unionized individuals.

In addition to severance package negotiations, we can assist you on a broad range of employment matters, including:

If you are a non-unionized employee who needs help with a workplace issue, contact us or call 1-855-821-5900 to get the advice you need and the compensation you deserve.

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