Reported

Fiverr

Technology · Online Marketplace · Israel · announced September 2025

Cite this case

Future Fluent HR, AI Workforce Impact Dashboard. Fiverr (September 2025): 250 roles; graded Reported; the company names AI as the reason. Source: U.S. Securities and Exchange Commission. Reviewed Oct 23, 2026. https://dashboard.futurefluenthr.ai/case/fiverr/

Reduction
Approximately 250 team members across departments, the company's own figure in its filing of September 15, 2025. Fiverr reported 762 employees at December 31, 2024 in its annual report, so the cut is roughly a third of that base; press put it at 25% to 30%, a rate the company did not state
Percentage given
Not stated by the company. About 250 against the 762 employees at the end of 2024 is roughly 33%, arithmetic on the annual report figure; press reports said 25% to 30%
Share of workforce, worked out
33% of about 762 employees
Jobs affected
Managers & layersClosest US occupation groups: General and Operations Managers
HR function
Across the different departments, per the filing, resulting in what the chief executive called a smaller and flatter organization with far fewer management layers. His letter names customer support, where AI helps the team consolidate knowledge and cut ticket resolution times, and marketplace integrity and fraud detection as places where AI already does work; it does not say how many of the 250 sit in each. No HR-function roles are named
AI tool
No external system is named in connection with the roles. Micha Kaufman cites AI across coding, marketing and customer care, names Fiverr's own AI products Neo, Fiverr Go and Dynamic Matching as examples of what small AI teams deliver, and says the company does not need as many people to operate the existing business
The workflow
Company-wide, across departments and management layers; not HR roles. Included because Fiverr's own filing ties the reduction to its focus on AI initiatives and its chief executive says AI is why the company needs fewer people
Strategic pivot
Partial. Fiverr says it will invest aggressively in AI, including upskilling the remaining team and attracting AI-native talent; the people leaving receive severance, extended healthcare and career transition help, with no redeployment stated

What happened

Fiverr announced the reduction on September 15, 2025 and furnished the announcement to the SEC the same day. The Form 6-K says the company "is undergoing a transformation as part of its focus on AI initiatives, which involves a reduction in force of approximately 250 team members across various departments to create a leaner and more efficient organization." The exhibit carries founder and chief executive Micha Kaufman's letter to the team. It says Fiverr is becoming "an AI-first company that's leaner, faster, with a modern AI-focused tech infrastructure, a smaller team, each with substantially greater productivity, and far fewer management layers", and that the transformation "requires a painful reset" in which the company parts with approximately 250 team members. Under the heading "Fewer people, more productivity" Kaufman writes that over the past year Fiverr implemented many AI projects, saw "how AI can automate and streamline processes, liberate humans from manual and tedious tasks", and concludes: "As we evaluate what has been done and what can be done, we believe we don't need as many people to operate the existing business." He gives customer support, where AI helps the team consolidate knowledge and reduce ticket resolution times, and marketplace integrity and fraud detection as examples. The company says it will reinvest part of the savings, aggressively invest in AI including upskilling the remaining team and hiring AI-native talent, and expects to reach its 25% adjusted EBITDA margin target in 2026, a year early. Those leaving get severance, extended healthcare, career transition assistance and help from the leadership team. Fiverr reported 762 employees at the end of 2024, 637 of them in Israel; Engadget, citing The Register, put the cut at around 30% of staff, and Calcalist at about 25%.

What HR should take from it

Fiverr cut about 250 people, roughly a third of a 762-person company, and its founder said in a filed letter that after a year of AI projects the company no longer needs as many people to run the existing business. That sentence is the whole case, and it is worth reading closely because it is the version of the AI layoff that HR leaders will be asked to defend most often: not a system replacing a named team, but a leadership judgment that a smaller organisation can now do the same work. Kaufman gives two kinds of evidence. One is efficiency, as in customer support, where AI helps agents consolidate knowledge and resolve tickets faster. The other is capability, as in fraud detection, where AI does work that was not feasible before. Neither comes with a number, and neither names the tool, which is why this sits at Reported. Two features of the announcement are good practice whatever you think of the decision. The company filed the letter with its regulator the same morning, so the public record and the internal record are the same document, which is the opposite of the leaked-memo pattern that keeps other cases at Inferred. And it paired the cut with a commitment to upskill the people who stay and to hire AI-native talent, which at least answers the question of what the remaining 500 are expected to become. If you are planning a reduction on the same reasoning, write down what "we don't need as many people" rests on before you announce it: which workflows changed, by how much, measured how. Fiverr did not, and its 250 will be quoted as an AI number without that evidence attached.

Why this credibility tier

Fiverr's own filing says the reduction of approximately 250 team members is part of its focus on AI initiatives, and its founder and chief executive writes in the attached letter that, having seen what AI can automate, the company does not need as many people to operate the existing business, so the attribution is as direct as this record holds. It stays below Verified because no system is tied to the roles: the AI products Kaufman names are things Fiverr sells, not tools doing the work of the people leaving. The 250 is the company's figure and the 25% to 30% share is the press's arithmetic, so quote the count. A named system at work in the affected teams would lift it.

Graded Reported when added, Oct 2026.

How the company put it

Names AI as the reason

  1. Names AI as the reason
  2. One of several reasons
  3. Cutting to fund AI
  4. Mentions AI, no link
  5. Link only off the record
  6. Denies AI caused it
  7. Says nothing about AI

“We’ve witnessed firsthand how AI can automate and streamline processes, liberate humans from manual and tedious tasks, and unlock capabilities that were historically not possible or too expensive. As we evaluate what has been done and what can be done, we believe we don’t need as many people to operate the existing business.”

Micha Kaufman, Founder and Chief Executive Officer, Letter to employees, Exhibit 99.1 to Form 6-K, Sep 2025. Source

Highlighted: the words that tie AI to this cut.

The company or a named executive says AI drives or enables this cut. The tier says how solid the evidence is; this says how plainly the company itself tied AI to the cut. How this is coded

What this case rests on

  • AI tool namedno vendor, product or model namedno
  • Change measuredApproximately 250 team members across departments, the company's own figure in its filing of September 15, 2025yes
  • Filing or Tier 1 sourceU.S. Securities and Exchange Commission · Filing or company documentyes

Verified also requires an executive on the record, which is a reading of the source rather than a field. That judgment is in the credibility note.

Fiverr International Ltd. Form 6-K furnished September 15, 2025, Exhibit 99.1, https://www.sec.gov/Archives/edgar/data/1762301/000117891325003327/exhibit_99-1.htm, for Micha Kaufman's letter, the AI-first framing, the approximately 250 team members, the customer support and fraud detection examples and the severance terms; the 6-K cover report, https://www.sec.gov/Archives/edgar/data/1762301/000117891325003327/zk2533783.htm, for the company's own sentence tying the reduction to its focus on AI initiatives; Fiverr Form 20-F for 2024, https://www.sec.gov/Archives/edgar/data/1762301/000117891325000559/zk2532679.htm, for 762 employees at December 31, 2024; Engadget, September 16, 2025, https://www.engadget.com/ai/fiverr-is-laying-off-250-employees-to-become-an-ai-first-company-215730063.html, for the around 30% figure attributed to The Register

Reviewed Oct 23, 2026