Intuit, the company that owns TurboTax, QuickBooks, Credit Karma, and Mailchimp, is reportedly preparing to lay off a staggering 17% of its workforce according to Reuters, which cites an internal memo.
Details are scant at the moment regarding the reason for the layoffs, but CEO Sasan Goodarzi sent an email to staff earlier in the day, saying that reducing complexity and simplifying the structure would help it deliver better products, to streamline operations and sharpen focus on its key bets including its AI efforts.
The company has signed multi-year deals with AI startups Anthropic and OpenAI to integrate their AI models into its software and add Intuit's personalized tax, finance, accounting and marketing capabilities into Claude and ChatGPT.
Bloomberg data shows Intuit's total workforce was around 18,200 in mid-2025. If those figures are still accurate, the layoffs could affect upwards of 3,000 employees.
As of Tuesday's close, Intuit shares were down nearly 40% on the year amid AI fears disrupting the software stocks.
Shares are down 2% in premarket trading.
Analysts are mostly bullish…
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The last day for impacted staff at Intuit in the United States will be July 31 and they will receive 16 weeks of base pay and two extra weeks for every year at Intuit as part of the severance package, the memo on Wednesday showed.