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News » CloudFactory’s layoffs in Nepal spark employee outrage

CloudFactory’s layoffs in Nepal spark employee outrage

CloudFactory layoffs in Nepal
Photo from CloudFactory

KATHMANDU, NEPAL — The numerous layoffs within U.S.-based data-processing firm CloudFactory led to a wave of criticism from the workforce as they labeled the firm’s method impersonal and heartless.

In an interview with the Rest of World, former employee “Kumar” shared his shock and disappointment, adding that he was not allowed to hand over his work or even say goodbye to his colleagues. 

CloudFactory has been a top choice for many of Nepal’s 15,000 annual IT graduates due to its attractive salaries and comprehensive training programs. Its goal is to fight poverty through job creation and skills development. 

Critics argue that CloudFactory betrayed its social mission with the abrupt layoffs. Former employees, who saw themselves as part of an innovative, people-first culture, now feel abandoned.

Despite a global tech downturn, CloudFactory’s decision to cut jobs was a surprise. The firm was expanding, having acquired the data-centric machine learning platform Hasty.

Adding insult to injury, CloudFactory’s refusal to disclose the extent of the layoffs, coupled with recent job postings, left the dismissed employees feeling deceived. 

Another former employee “Kavita” said, “I was told that I was just an unlucky number … because [the layoffs were] not based on performance. They just wanted to downsize the company… It was extremely messy.” 

When asked for their comment, CloudFactory VP of marketing Jordan Carlson said that the firm remains committed to “creating meaningful work for 1 million people in the developing world.”

“As a leader of human-in-the-loop AI, we look at the next decade of AI adoption and are incredibly excited about the opportunity to further that vision,” Carlson added.

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