Factorial, a Barcelona-based company that builds human resources software for small and medium-sized enterprises, recently faced internal upheaval echoed in a public forum. In a recent podcast, leaders touched on layoffs that affected the product team—approximately twenty employees were let go from a workforce totaling around 1,000. The company reportedly met the legal limits by only letting go up to thirty people, a threshold tied to local regulations, according to El Periódico, part of the Prensa Ibérica network. The firm had secured a notable valuation, surpassing one billion euros after a 120 million euro investment in October, underscoring its growth trajectory despite the recent staffing changes.
“This is the first time we’ve seen our name in the media since starting this podcast. It’s unfortunate,” the senior leadership commented, joking about the situation. “From an external viewpoint it might look like we’re on the brink, but from a personal standpoint, what was the experience like inside?”
The episode featured contributions from Director Jonathan Centeno, Growth lead Alejandro Rivers, Brand and Culture Manager Jacinto Fleta, and Growth team members. The episode, uploaded on July 27 across several platforms linked to the company’s account, was temporarily removed from the major players including Apple, Spotify, and Ivoox after controversy on social media, though it remained available on Podtail. The newspaper attempted to reach three podcasters and Factorial for comment but did not receive a response by the time of publication.
Executives openly debated the layoffs in the wake of public chatter on Twitter that began to surface once news of the changes circulated. Several affected individuals publicly shared the news on social networks, reflecting a mix of surprise and concern about the human impact. A sense of internal ambiguity emerged as observers weighed the timing and rationale behind the decisions.
Inside the podcast, Nehirler remarked on the juxtaposition between what was reported externally and what was experienced on the inside, noting the tension between sensational headlines and the day-to-day realities of the company. Centeno replied that while Twitter can amplify dramatic narratives, there were colleagues who had worked closely together and could attest to how some product adjustments were framed as strategic enhancements rather than drastic shifts. The conversation suggested that expectations from outside the company did not always align with the internal process and the longer view for the organization.
The layoffs followed the firing of the chief product officer, who had been central to the product strategy. The CEO, Jordi Romero, explained that the dismissal reflected a necessary shift in how the product was developed and stated that the previous approach no longer aligned with the company’s core DNA. According to one affected person, the layoff process was managed by co-founder Bernat Ferrero, though the podcasters themselves did not participate in the decision or its execution.
Despite the creators’ stance that the podcast represented internal discourse rather than a direct policy on personnel, some audience members praised the transparency and others criticized the tone as insensitive. Centeno expressed satisfaction with the changes, emphasizing that while the process had personal consequences for those affected, the company’s leadership believed the move would position the organization for stronger performance in the coming years. He asserted that the shift was essential for clarifying focus and accelerating progress in the near term, even as it underscored the difficult realities faced by employees.
In the days that followed, several laid-off individuals voiced their discontent, describing the response as lacking tact and sensitivity. They argued that the podcast’s narrative did not fully respect the complexity of their experiences, highlighting a clash between public storytelling and private impact. The episode thus became a catalyst for broader conversations about communication, leadership decisions, and the responsibilities that come with publicly sharing internal corporate dynamics.