Customer support software company recently made a number of its Irish employees redundant
Zendesk International, which employed 648 people in 2021, most of them in sales and marketing, paid out more than €72.3 million in wages and salaries, up from €57.3 million in 2020. Included in the total is an expense for share-based payments of €12.5 million, the company’s auditors, EY, noted in the accounts.
“The expected expenditures that the group anticipate will be necessary to manage the anticipated growth, including personnel costs, expenditures relating to hosting capabilities, leasehold improvements and related fixed assets, will make it more difficult for the group to achieve profitability in the near term,” they said. “Many of these investments will occur in advance of us experiencing any direct benefit and will make it difficult to determine if we are allocating our resources efficiently.
The directors noted that Zendesk began decommissioning two floors at its headquarters at 55 Charlemont Place, built by developers Paddy McKillen Jr and Matt Ryan through their Oakmont vehicle. They said the company has made the two floors available for sublease so the reduction in space “will have no impact on our lease commitments”.
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