Kaseya Says ‘No Layoffs,’ But Slight Staff Reduction

Known for its growth, Kaseya vows to fill its newly open positions “with dedicated professionals.”

Dave Raffo, MSP News Editor

April 5, 2024

2 Min Read
Kaseya slight staff reduction
G-Stock Studio/Shutterstock

Kaseya confirms it cut more than 100 jobs this week at its Miami headquarters, but said they were “performance-based terminations” rather than layoffs.

The provider of IT software to MSPs said it cut about 150 workers from nearly 2,000 at its headquarters and pledged to fill the roles of the terminated employees. Kaseya confirmed the cuts after terminated employees took to social media to disclose their fates. Some said they were laid off, and others put the number of reductions at far above 150.

“There were no layoffs,” said Xavier Gonzalez, Kaseya chief communications officer. “We had performance-based terminations, and all those roles will be backfilled. Kaseya will backfill each role with dedicated professionals who will prioritize our customers' success and better align with our company goals.  It’s also important to note that Kaseya has hired approximately 1,000 people in Miami alone since the start of 2023, and now employs over 5,000 people globally.”

Kaseya has expanded from 500 employees in 2018. Much of the growth came from acquisitions, including the $6.2 billion purchase of Datto in 2022. The company became a major presence in Miami and spent $117 million on naming rights for the NBA’s Miami Heat's arena, now known as as Kaseya Center.

Related:Kaseya Rocks Industry with $6.2 Billion Datto Acquisition

Kaseya CEO Fred Voccola has been outspoken about industry-wide IT layoffs over the past year, blaming them on companies overextending themselves with increased labor costs while pointing out his company has not only avoided layoffs but has grown.

Kaseya's Fred Voccola

Voccola has forecast that growth to continue. At the Channel Futures Leadership Summit in November, he previewed a Powered By Kaseya branding campaign that would roll out at this month’s Kaseya Connect Global 2024 conference. The CEO said the campaign “will disrupt the entire industry and that's why end customers are going to start to look for MSPs powered by Kaseya, the same way that we bought a PC 15 years ago powered by Intel. We’re going to make it impossible for people not to be ‘Powered by Kaseya.’”

At the Kaseya+Datto M&A Symposium for MSPs in London last December, Voccola added that Kaseya would deliver news in 2024 that will make the Datto acquisition “seem insignificant.” He certainly wasn’t talking about layoffs.

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About the Author(s)

Dave Raffo

MSP News Editor, Channel Futures

Dave Raffo has written about IT for more than two decades, focusing mainly on data storage, data center infrastructure and public cloud. He was a news editor and editorial director at TechTarget’s storage group for 13 years, news editor for storage-centric Byte and Switch, and a research analyst for Evaluator Group. In addition to covering news and writing in-depth features and columns, Dave has moderated panels at tech conferences. While at TechTarget, Raffo Dave won several American Society of Business Publication Editors (ASBPE) awards for writing and editing, including for column writing.

Raffo covers the managed services industry for Channel Futures. His reporting beat includes the MSPs, key vendors and tech suppliers with managed services programs, platform providers, distributors and all key players in this sector of the market. Dave also works closely on the Channel Futures MSP 501 and our live events.

Raffo has also worked for United Press International, EdTech magazine, Windows Magazine and Data Center Intelligence Group (DCIG) in reporting, editing and research analyst roles.

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