Cloud Software Group Layoffs Gut Citrix, Tibco, 'Useless' Management Remains

Cloud Software Group (CSG) is confirming layoffs impacting 15% of its workforce, including Citrix and Tibco.

Tom Krause, CSG’s CEO, announced the Citrix and Tibco layoffs in a blog Wednesday. On Tuesday, CSG notified roughly 15% of the Citrix and Tibco workforce that their roles were eliminated or redundant as part of its planning process for the new company.

Last fall, Vista Equity Partners and Evergreen Coast Capital completed their $16.5 billion acquisition of Citrix and combined it with Tibco, creating CSG.

Citrix Workers Voice Frustration Over Layoffs

Numerous Citrix employees took to TheLayoff.com to voice their frustration over the layoffs.

One employee said it’s unclear how the company will continue functioning without the “knowledgeable” people laid off.

“Wouldn’t it be more rational to get rid of some highly paid, useless managers in order to keep employees whose hard work and competence are really needed by this company?” the worker asked.

Another said, “More good people gone while we’re still stuck with unnecessary levels of management.”

“Once, just once, I’d like to be surprised by their choices in a positive way,” the worker said.

And another Citrix worker said, “We’re now left working for a train wreck or dumpster fire (pick one).”

“CSG customers pay the bills, and they deserve better than the pitiful support we currently provide,” the worker said. “And it continues to decline each week. What a fiasco!”

And still another worker said Citrix “cared so little” that they were laid off by a “woman wearing a bathrobe.”

Citrix, Tibco Layoffs Part of Corporate Plan

Krause said over the past three months, CSG examined every role, tool, system and process across the entire company.

Cloud Software Group’s Tom Krause

“We thoroughly reviewed our product portfolio, the competitive environment, customer needs, go-to-market (GTM) motions, marketing strategies, engineering, support capabilities and general and administrative functions,” he said. “We have built a plan to create value. Our intent is to invest more in our core products and support to deliver greater value to our customers. We also built a plan to create greater financial value to allow us to invest in other mission-critical technologies to take to market.”

CSG has built a plan that will financially reward employees, partners and investors,” Krause said.

“While there are significant impacts to the organization, many that have been painful for the teams this week, I am confident in our new business model,” he said.

Layoffs to Improve ‘Predictability’ in Business Results

CSG will have “better predictability in our business results” as a result of the layoffs, Krause said.

“As a leader, these are the toughest types of decisions to make,” he said. “But our actions yesterday set us up for growth in the future.”

CSG has “enormous” potential and an opportunity to become a global leader in delivering enterprise software at scale, Krause said.