Fears for Irish jobs as Workday to cut more than 1,700 global positions amid AI shift

The tech company, which employs around 1,900 people in Ireland, said it would cut more than 8% of its global workforce as it moves to further invest in the use of AI 

The company has a significant Irish operation, with its two Dublin offices employing more than 1,900 people. (Photo Illustration by Thomas Fuller/SOPA Images/LightRocket via Getty Images)

Tech giant Workday, which specialises in financial and human resource management, has announced it will cut 8.5% of its current global workforce with 1,750 positions to be impacted.

The US-founded company, which has a significant presence in Ireland, said in a filing to the US Securities and Exchange Commission (SEC) on Wednesday that it was launching a new restructuring plan targeting long-term growth.

"On February 5, 2025, Workday announced a restructuring plan intended to prioritise its investments and continue advancing Workday’s ongoing focus on durable growth," the company said. 

"The plan is expected to result in the elimination of approximately 1,750 positions, or 8.5% of Workday’s current workforce. 

"Workday expects to continue to hire in key strategic areas and locations throughout its fiscal year ending January 31, 2026. In connection with the plan, Workday expects to exit certain owned office space."

The company has a significant Irish operation, with its two Dublin offices employing more than 1,900 people, according to its most recent accounts filed to the Company Registration Office.

The company first located in Dublin in 2008 following the acquisition of Cape Clear, an Irish technology company which was an ESB provider. In 2015, Workday opened its European headquarters in Kings Building. Eight years later, the company expanded further with the opening of its 80,000 sq ft 'Dockline' office in Dublin 1.

Workday declined to comment on how many Irish jobs would be impacted by its restructuring plan, however, it told the Irish Examinerthat it remains committed to Dublin, adding that it will "continue to invest in our local innovation efforts, including a new location in Dublin city centre we are close to announcing."

In a memo to staff issued on Wednesday, Workday CEO Carl Eschenbach said the layoffs were due to the company's increased focus on investing in and implementing AI. 

"As we start our new fiscal year, we’re at a pivotal moment. Companies everywhere are reimagining how work gets done, and the increasing demand for AI has the potential to drive a new era of growth for Workday.

"This creates a massive opportunity for us, but we need to make some changes to better align our resources with our customers' evolving needs. This means investing strategically, helping teams work better together, bringing innovations to market faster, and making it easier for our customers and partners to work with us.

"To help us achieve this, we have made the difficult, but necessary, decision to eliminate approximately 1,750 positions, or 8.5% of our current workforce."

The company added that it would start meeting with affected employees shortly, with the goal of reaching as many as possible today, subject to local requirements where a consultation period is required.

The CEO also said that the company will continue to evolve throughout the year, noting: "While we are eliminating some positions, we will continue to hire in key strategic areas and locations throughout FY26. 

"We're also prioritizing innovation investments like AI and platform development, and rigorously evaluating the ROI of others across the board."

In its SEC filing, Workday said it estimates that it will incur approximately $230m (€221m) to $270m (€260m) in charges in connection with the restructuring plan, of which approximately $60m to $70m is expected to be recognised in the final three months of its 2025 fiscal year.