Enterprise resource planning software company Workday Inc. announced today that it will cut around 8.5%, or 1,760 jobs, from its workforce as part of a push for growth and increasing investments in artificial intelligence.

The news of the layoffs was revealed in a memo to employees that was published as part of a filing with the U.S. Securities and Exchange Commission. In the memo, Chief Executive Officer Carl Eschenbach said that Workday was at a “pivotal moment” where “companies everywhere are reimagining how work gets done, and the increasing demand for AI has the potential to drive a new era of growth.”

“This creates a massive opportunity for us, but we need to make some changes to better align our resources with our customers’ evolving needs,” Eschenbach added. “This means investing strategically, helping teams work better together, bringing innovations to market faster and making it easier for our customers and partners to work with us.”

Unfortunately, for about 1,750 Workday employees, the “massive opportunity” for Workday includes their being shown the door. U.S. employees will be offered a minimum of 12 weeks of pay and additional weeks based on tenure, along with additional vesting of restricted stock unit grants, career services, benefits support and immigration support.

The layoffs were not the only thing detailed in the memo, with Eschenbach also detailing strategic changes throughout the company.

The changes include a sharper focus on strategic investments, with continued hiring in key areas and a commitment to AI and platform innovation. Workday is also evaluating the return on investment across all initiatives to ensure resources are allocated effectively.

Additionally, Workday said, it’s re-engineering processes to enable faster decision-making and innovation while clarifying roles and responsibilities for greater alignment. It’s also expanding its global footprint by investing in strategic locations with strong talent to better serve customers worldwide.

According to the Associated Press, Workday expects the layoffs and workplace adjustments related to the restructuring plan will incur costs of between $230 million and $270 million, primarily in severance payments.

Workday joins other companies that have announced layoffs recently, including Salesforce Inc.’s announcement that it will let go of more than 1,000 workers on Feb. 4.

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