Update: A Reveal spokesperson has now confirmed that the number of employees who have been laid off is 79. Although a WARN Act notice filed in Arizona stated a higher number, Reveal said that was a clerical error and will be corrected.
Yesterday, I reported here on the acquisition by global e-discovery company Reveal of two other leading e-discovery companies, Logikcull and IPRO, in a deal valued at more than $1 billion.
Today, some of the employees of those acquired companies began receiving layoff notices. A Reveal spokesperson declined to provide the number of employees impacted, but said that the majority of both companies’ employees are staying on.
That there would be some layoffs was not unanticipated. In my report yesterday on the acquisition, I asked a Reveal spokesperson whether all employees of both companies would stay on.
“As you know, acquisitions of this magnitude bring about changes, especially when there are inevitable areas of duplication,” she answered. “Merging operations will obviously require eliminating some redundancies, but Reveal is committed to welcoming Logikcull and IPRO employees fully on-board.”
One source told me today that the layoffs at IPRO were widespread, but Reveal denies this, telling me that the majority of employees are staying on. “For the majority of Logikcull and IPRO employees, we fully welcome them to Reveal,” the spokesperson said.
For those who have been laid off, she said, the company is providing them with severance packages based on their tenure and with various outplacement resources.
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