Fiverr Announces About 250 Job Cuts in Shift to AI-First Operations

Workforce reduction announced

Fiverr has announced a workforce reduction affecting about 250 employees as the freelance marketplace shifts toward an AI-first operating model.

The event record dates the announcement to 2025-09-14T14:00:00.000Z, while the cited report says employees were told on 15 September 2025. The report identifies Israel as the country associated with the layoff and lists the company’s industry as Information Technology, while the event record categorises Fiverr as a Freelance Marketplace.

The reduction was described as affecting approximately 250 team members across different departments. It is an announced cut, rather than an estimate of future reductions.

AI cited as a primary factor

Fiverr chief executive Micha Kaufman linked the decision to AI projects implemented across the organisation over the past year, according to the CEO letter referenced in the report. The letter said the company had seen AI automate and streamline processes, reduce manual work and enable capabilities that had previously been unavailable or too costly.

The company specifically identified customer support as an area where AI had already been deployed. The event record also lists fraud detection and matching among the functions where Fiverr has used AI. It says support costs were reduced significantly.

According to the event record, Fiverr explicitly cited AI and automation as a primary driver of the workforce reduction. The CEO letter, as summarised in the cited report, said the company believed it needed fewer people to operate its existing business after evaluating completed AI work and further potential applications.

Leaner operating model

Fiverr is pursuing an AI-first company model intended to be leaner and faster, according to the cited report. The CEO letter described an organisation with a smaller team, greater productivity per employee and fewer management layers.

The cuts come as the company reorganises operations around AI capabilities. The event record places the move within a wider pattern affecting freelance marketplace businesses, where companies are restructuring functions that may be susceptible to automation while reducing headcount.

Fiverr’s marketplace connects freelancers with work, and the cited report noted that some freelancers operate in areas affected by the same AI tools being introduced within companies. The reported workforce reduction applies to Fiverr’s own staff across departments, while the company’s stated rationale centres on automation, operational streamlining and the resources required to run its existing business.

The report attributes the information to a Fiverr CEO letter filed with the SEC. It does not provide a department-by-department breakdown of the approximately 250 affected roles, nor does the event record provide further detail on individual positions.

Sources

• Fiverr cut about 250 jobs after its chief executive wrote that AI means it does not need as many people