David Vander (LiveTiles)
LiveTiles CEO David Vander has resigned as the company plans to axe 48 roles globally across the business.
The publicly listed Microsoft partner is embarking on a $16.8 million cost reduction program that will affect full-time employees and fixed-term contractors.
LiveTiles said the changes resulted from “softer” sales and a longer sales cycle amid a “turbulent macroeconomic environment”.
As a result of the program, and “in line with his career objectives”, Vander is to exit the business less than a year after joining.
Vander previously spent a year at LiveTiles as its chief growth officer between 2019 and 2020, before departing to join Salesforce.
He re-joined LiveTiles in November last year while founder and former CEO Karl Redenbach moved into a contractor position as head of global growth.
According to an announcement on the Australian Securities Exchange (ASX), LiveTiles plans to find a replacement while Vander sees out his six-month notice.
The headcount changes come amid a global restructuring, which will focus on transitioning certain roles to lower-cost locations.
LiveTiles will also accelerate efforts to reduce its operating costs including non-core office spaces, IT costs, marketing and reduced professional fees.
With annualised savings of $16.8 million and $8.4 million in FY24, LiveTiles hoped to gain additional operational leverage in FY24, “positioning the company for improved financial performance in the future”.
“LiveTiles continues to hold strong customer connections, passion for our market-leading product and a clear path to claiming a share of a multi-billion-dollar software market,” said Vander.
“We remain committed to delivering outstanding employee experience software solutions while adapting to changing market dynamics.”
At the beginning of F23, LiveTiles first announced plans to move “certain” jobs to Portugal and the Philippines as part of an “extensive” operational review of its business.
This followed the posting of a $818,000 loss for the financial year ended 30 June 2022, a significant reduction from the previous $30 million loss.
