Okta Cuts 3% of Workforce, or 180 Jobs, in Third Consecutive Year

What’s going on at Okta?

San Francisco-based identity security firm Okta has announced its third round of layoffs in three years, cutting 180 employees—about 3% of its workforce. The company said the cuts are part of an effort to reallocate resources toward priorities that drive growth.

This follows previous rounds of layoffs in 2023 and 2024.

Details

Okta expects to spend $11 million on severance and benefits

• Most severance payments will occur in the fiscal quarter ending April 30, 2025.
• A minor adjustment to stock-based compensation will also be recorded this quarter.
• The company has assured support and resources for impacted employees.

Official context

While Okta continues to restructure, it remains one of only eight cybersecurity firms to have announced at least three rounds of layoffs since COVID-19, alongside companies like F5, Cybereason, and Snyk.

• Despite ongoing cuts, Okta’s overall headcount has remained relatively steady due to new hires in other areas.
• Okta’s stock traded at $93.05 midday Tuesday, though it remains 68% down from its peak of $291.78 in 2021.
• Okta has faced several setbacks in recent years, including a hack in September 2023 and unauthorized access by extortion group Lapsus$ in 2022.

Okta acquired Auth0 for $6.5 billion in 2021.

Impact on Canadian staff

It remains unclear how many of Okta’s more than 400 Canadian employees will be affected by the layoff.

ADDITIONAL RESOURCES
• Can I be fired after a bad performance review in Ontario?
• What Albertans need to do if they’re fired after a bad performance review
• Fired after a bad performance review in B.C.: Employee rights

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📞 Contact Samfiru Tumarkin LLP: 1-855-821-5900 or request a consultation online.

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If you’ve lost your job at Okta for any reason, don’t panic. We can review your situation, assess your legal options, and help you secure the compensation you’re legally entitled to.

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