Intuit (INTU) shares fell Wednesday after the accounting software maker announced that as part of a reorganization plan it was cutting jobs of current employees, but plans to replace them as it shifts its focus towards artificial intelligence.
The company behind TurboTax, QuickBooks, and other financial products wrote in a regulatory filing that it was laying off 1,800 workers, or about 10% of its workers, and closing its Boise, Idaho and Edmonton, Alberta sites “in service to growing technology teams and capabilities in strategic locations.”
Intuit said that it expects to hire a nearly equal number of staffers in fiscal 2025 “to support the Company’s declared growth areas,” and anticipates headcount to grow in fiscal 2025 and beyond.
Intuit said it estimates that it will incur approximately $250 million to $260 million in charges to implement the changes, primarily in its fiscal fourth quarter that ends July 31. It sees all the …