OpenText to lay off nearly 1,200 employees

(Reuters) - OpenText Corp said on Wednesday it would cut about 1,200 jobs, around 1.7% of its workforce, as part of its new business optimization plan.

The layoffs will cost the information management company nearly C$60 million ($44.01 million) that will be recognized in the first quarter of fiscal 2025, but OpenText expects to reduce its expenses by C$150 million in 2025.

The Ontario, Canada-based company will reinvest C$50 million annually in 800 new roles in sales and engineering, to support its growth and innovation plans, according to an SEC filing.

More than 100,900 workers have been laid off across 356 tech companies so far this year, according to tracking website Layoffs.fyi.

($1 = 1.3632 Canadian dollars)

(Reporting by Juby Babu in Mexico City; Editing by Krishna Chandra Eluri)