King of Prussia-based Vertex plans to reduce its workforce by nine percent, as the tax and compliance software maker pivots toward artificial intelligence, writes Jeff Blumenthal for the Philadelphia Business Journal.
In a Securities and Exchange Commission filing, the company said that the layoff of 170 employees out of nearly 1,900 was approved by its board of directors. About one-third of the affected employees are based in the Philadelphia region.
The decision also reflects the company’s goal of becoming more AI-enabled, concentrating investment on core growth areas, and increasing operational efficiency by aligning its workforce and resources with long-term strategic priorities.
CEO Christopher Young said in a note to employees that the reductions are necessary as the company’s industry continues to be reshaped by new technologies, regulatory change, and rising competition.
“The window to lead that change, rather than react to it, is not unlimited,” said Young. “If Vertex is going to lead the next chapter of tax and compliance technology, we must change our circumstances before they change us.”
The layoffs are expected to result in approximately $6 million to $8 million in aggregate pre-tax charges for the company.
Read more about King of Prussia’s Vertex and its pivot toward AI in the Philadelphia Business Journal.
Editor’s Note: This post was originally published on MONTCO Today in May 2026.
