Software maker Okta Inc., known for identity verification and login services, has become the latest technology company to sack its employees. 

The company has decided to reduce its headcount by 5% which is around 300 employees. The latest job cuts is aimed to cut costs.

“I have made the very difficult decision to reduce our global workforce by 5% or approximately 300 employees,” wrote Chief Executive Officer Todd McKinnon in a letter to employees on February 2.

“If you work in the US, you will receive an email in the next 15 minutes notifying you if your role is impacted or not. If your role is impacted, your leadership will schedule a meeting this morning to discuss next steps. For employees outside the US, the notification process may be different due to local laws and practices,” he added.

On what led Okta to workforce reduction, McKinnon further explained that over-hiring and execution challenges made us to go for workforce reduction like this. According to him, it was the last thing he wanted to do and said sorry.

The company entered fiscal 2023 with a growth plan based on the demand it experienced over the previous year. This led Okta to over hire for the macroeconomic reality. “In addition, in the first half of FY23, we faced our own execution challenges. I wish I had responded sooner, but we’re doing the best we can today to adjust to this reality,” wrote McKinnon.