SageCircle has received credible intelligence that Forrester Research initiated a job action resulting in analyst lay offs. We will continue to provide updates as we learn new information.
- Update – 2/9/09 12:15 pm PT – Initial post. Sent request for confirmation to Forrester’s press office
- Update – 2/9/09 12:30 pm PT – Context
- Update – 2/9/09 12:45 pm PT – Details: 111 staff laidoff, 15% of workforce Correction: This number is from the 2001 layoff.
- Update – 2/9/09 1:10 pm PT – Added analyst to list (see below)
- Update – 2/9/09 1:52 pm PT — Added analyst to list
- Update – 2/9/09 1:47 pm PT — Added analyst to list
- Update – 2/0/09 3:12 pm PT — Added analyst to list
- Update – 2/9/09 3:45 pm PT — Added Forrester’s official statement
- Update – 2/9/09 4:02 pm PT — Added two analysts to list
- Update – 2/9/09 4:31 pm PT — added analyst to list
- Update – 2/9/09 5:40 pm PT — added two analysts to list
- Update – 2/9/09 5:55 am PT — Forrester files an SEC form 8-K with the official statement
- Update – 2/10/10 6:43 am PT — a little perspective on the layoffs
- Update – 2/10/09 8:40 am PT — Removed an analyst from the list
On Wednesday, February 11th at 8 am PT, Forrester is having its Q4 and FY08 earnings call (see Forrester Research, Inc. Q4 and FY08 earnings call is scheduled – Acquisitions? Layoffs? Something out the ordinary?). As we mentioned in the post it would not be unusual for Forrester to announce job actions or acquisitions close to the day of the earnings call. Something else to remember that layoffs do not mean that an acquisition is not in the works. Forrester could be trimming costs in order to absorb the costs associated with an acquisition.
Added 2/10/09 — While the layoffs feel like 100% to the individuals who were directly impacted, within the context of Forrester’s overall research team the percentage was small. In its 2008 10Q, Forrester indicated that it had 410 research related employees. So far, we have identified eight analysts and researchers or 2% of the team. While this layoffs impacts clients who value those analysts’ advice and insights and the vendors who had invested in educating those analysts, these layoffs do not signal a decrease in Forrester’s influence or viability.
SageCircle has announced a SageCircle Special Webinar: Impact of the Recession on the Analysts and AR – Time for Ruthless Action. In this 90-minute webinar we will look at the last recession in comparison to this recession, the impact of this recession on the analyst ecosystem and what steps analyst relations (AR) programs need to take to ensure that their companies continue to work effectively with the IT and telecommunications analysts.
Sent by Karyl Levinson, Vice President, Corporate Communications
Forrester Announces Workforce Reduction
Cambridge, Mass., February 9, 2009 . . .
Forrester Research, Inc. (Nasdaq: FORR) today announced a reduction in force of approximately 50 jobs, or an estimated five percent of its workforce, across various functions and geographies worldwide. This positions the company to compete better in the current economic climate. The company anticipates that it will incur pre-tax expenses of approximately $2.5 to $3 million dollars in the first quarter of 2009, related principally to cash severance and related benefits costs. The company also is evaluating associated facilities-related costs.
“We are grateful for the contributions of all of our employees over the past year,” said George F. Colony, Forrester’s chairman of the board and chief executive officer. “We have made this difficult decision in response to challenging global economic conditions. Forrester has lived through tough economic times before. We are confident that with our role-based strategy and our current offerings, we are well-poised to successfully deliver what our clients need today and in the long term.”
Clients will continue to receive uninterrupted service from Forrester’s role-based analysts and research teams. Forrester’s research population is the highest it has been in the company’s 25-year history. After the workforce reduction, Forrester’s research headcount is 14 percent above what it was in February 2008.
- Adrian, Merv
- Brett, Charles
- Fulton, Larry
- Marston, Pete
- Pierce, Lisa
- Tiazkun, Scott
- Townsend, Chris
- Yehuda, Gil
- Webber, Alan