UKG, a human capital management (HCM) software company, has announced layoffs impacting approximately 950 employees. The restructuring follows a series of headcount adjustments since the company's formation in 2020. The company cited an ongoing transformation as the reason for the workforce reduction. Affected employees have been notified and provided with severance packages.
What happened
UKG initiated a layoff round on April 15, 2026, as part of what the company described as an ongoing transformation and restructuring of its global workforce. An internal memo was shared on social media, outlining the details of the workforce reduction.
How many employees affected
Approximately 950 employees are affected by the layoffs. Close to 600 employees were notified of their departure effective Wednesday, with another 350 asked to remain through a transition period ending Aug. 31, 2026.
Why layoffs happened
The company cited an ongoing transformation and restructuring of its global workforce as the primary reason for the layoffs.
Company background
UKG was formed in 2020 through the merger of Ultimate Software and Kronos, backed by private equity firm Hellman & Friedman. The company reports annual recurring revenue exceeding $3 billion, with total revenue around $5 billion. UKG serves over 80,000 organizations across 150+ countries and has around 20,000 employees globally.
Industry impact
UKG is a major player in the human capital management (HCM) software market. The company's moves are closely watched by industry analysts and competitors. The layoffs come three months after an industry analyst declared that UKG had staked out a leadership position in the frontline workforce management market.
What's next
UKG will continue its ongoing transformation, with affected employees receiving severance packages and transition support. The company has been moderating its headcount since the 2020 merger, with previous layoffs occurring in 2022, 2023, and July 2024. The company will likely focus on integrating AI and improving customer success.