mdf commerce Inc., a SaaS leader in digital commerce technologies, announces that the Corporation effected a workforce reduction to lower the Corporation’s operating expenses.
In addition to the cost reductions previously announced at the time of its third quarter of fiscal 2023 financial results, mdf commerce has further reduced its global workforce by approximately 40 people, representing approximately 6% of its total employees. This decision was made after careful consideration to improve the Corporation’s financial performance.
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mdf commerce estimates that it will incur non-recurring charges of approximately $0.7 million in connection with this restructuring, primarily consisting of severance payments, notice pay and employee benefits contributions. The majority of these restructuring charges will occur in the first quarter of fiscal 2024.
Despite the difficult decision to reduce its workforce, mdf commerce remains fully committed to providing exceptional client service to its customers. This decision was necessary to maintain a sustainable financial position and improve cash flows from operations, as we continue to invest for future growth and in the success of the Corporation.
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“We understand that this news is difficult for our team, and we are committed to providing support to those impacted during this transition,” says Luc Filiatreault, President and CEO of mdf commerce. “We appreciate the contributions of all our employees, and we will do everything we can to make this as smooth as possible.”
mdf commerce would like to reassure its employees, customers and investors that this decision will not impact its ability to provide top-quality services and solutions. The Corporation remains focused on its long-term vision of becoming the North American leader in government eprocurement solutions with the objectives of profitably growing its businesses, including its ecommerce and emarketplaces platforms. mdf commerce remains committed to investing in its people, technology and infrastructure, and looks forward to continuing to deliver exceptional value to its clients and customers.
