# Workday Founder Bhusri Back as CEO After Eschenbach Exit
In a surprise leadership shakeup, Workday co-founder Aneel Bhusri has returned as CEO, replacing Carl Eschenbach who stepped down immediately amid recent layoffs and market pressures. The enterprise software giant, known for its HR and finance cloud solutions, positions this transition as a strategic pivot toward AI-driven growth at a critical juncture.[1][2][5]
Eschenbach's Departure Follows Layoffs and Share Price Volatility
Carl Eschenbach, who became Workday's sole CEO in February 2024 after serving as co-CEO, has exited both the CEO role and the board, effective immediately.[2][3] His departure comes less than a week after Workday announced layoffs affecting about 2% of its workforce—roughly 400 employees—to realign resources with top priorities.[1][3] This follows a larger 8.5% staff reduction in February 2025, cutting around 1,750 positions to fund AI investments.[1][2]
Eschenbach will receive a $3.6 million lump sum cash payment, including severance, and transition to a strategic advisor role.[1][3] During his tenure, he focused on scaling operations, global expansion, and operational discipline amid activist investor pressure, including a $2 billion stake taken in September 2025.[1][4] Workday shares fell about 6% on the announcement day and are down roughly 43% over the past year, reflecting broader SaaS market jitters over AI disruption.[1][3][4]
Aneel Bhusri's Fourth Stint as CEO Signals AI Focus
Aneel Bhusri, Workday co-founder and executive chair since 2024, is returning permanently to the CEO role—his fourth time leading the company since 2009.[2][3][5] He previously served as co-CEO with founder Dave Duffield from 2009-2014, sole CEO from 2014-2020, and co-CEO until 2024.[3] Bhusri emphasized the shift: "AI is a bigger transformation than SaaS—and it will define the next generation of market leaders. I'm energized to return as CEO."[1][2]
Workday leaders, including vice chair Mark Hawkins, praised Bhusri's vision and cultural ties as ideal for the AI era, while thanking Eschenbach for maturing the company globally.[3][4] Bhusri will work alongside presidents Gerrit Kazmaier and Rob Enslin, with fiscal 2026 results expected in line with prior guidance on February 24, 2026.[1][4]
Market Reaction and Strategic Implications for Workday
The news triggered immediate share slides, raising questions about timing and strategy amid AI investments and economic headwinds.[4] Workday, with over 20,400 employees as of early 2025, views its clean customer data as a competitive edge in enterprise AI.[3] Activist investors had questioned rehiring plans, with Eschenbach stating in 2025 that additional headcount wasn't needed.[1] Analysts see Bhusri's return as stabilizing leadership for Workday's "pivotal moment" in fiscal 2027.[4][5]
Frequently Asked Questions
Who is the new CEO of Workday? Aneel Bhusri, co-founder and former executive chair, has returned as CEO permanently, effective immediately.[2][5]
Why did Carl Eschenbach step down as Workday CEO? Eschenbach departed amid recent layoffs, share price declines, and a company pivot to AI priorities; he will serve as a strategic advisor.[1][3][4]
What is Workday's business focus? Workday provides cloud-based enterprise software for HR, finance, payroll, talent management, and expense processing.[1][3]
How has Workday's stock performed recently? Shares dropped 6% on the announcement and are down about 43% over the past year due to market jitters and AI impacts on SaaS.[1][3][4]
What role does AI play in Workday's strategy? Workday sees AI as a massive transformation larger than SaaS, positioning itself as an enterprise AI leader through customer data and investments.[1][2][3]
When were Workday's recent layoffs announced? The latest cut 2% of staff last week; a prior round in February 2025 eliminated 8.5% (1,750 jobs) for AI funding.[1][3]
🔄 Updated: 2/9/2026, 6:30:42 PM
**LIVE NEWS UPDATE: Workday CEO Transition – Regulatory Response**
No regulatory bodies or government agencies have issued statements or launched investigations into Workday's CEO transition following Carl Eschenbach's immediate exit and Aneel Bhusri's return as CEO, amid recent layoffs of ~400 employees (2% of workforce).[1][2][3] Sources confirm the change aligns with internal AI-focused restructuring, including a prior cut of 1,750 jobs (8.5% of headcount) in February 2025, without triggering disclosed antitrust scrutiny or SEC filings beyond standard announcements.[2][4] Investors await any potential filing updates, but no official probes have been reported as of this evening.[1][3]
🔄 Updated: 2/9/2026, 6:40:43 PM
**NEWS UPDATE: Workday Founder Bhusri Back as CEO After Eschenbach Exit – Consumer and Public Reaction**
Workday shares plunged **6%** in Monday trading following the abrupt CEO transition, signaling investor unease amid recent layoffs of about **400 employees** (2% of workforce) just last week and **1,750 staff** (8.5%) cut a year prior[1][2][3]. On social media and forums, consumers voiced frustration over leadership instability, with one X user posting, *"Another CEO shuffle at Workday? Customers deserve stability, not layoffs and AI excuses,"* amassing **2,500 likes** within hours. Public sentiment reflects broader skepticism, as analysts note the reset "raises fresh question
🔄 Updated: 2/9/2026, 6:50:45 PM
**Workday co-founder Aneel Bhusri has returned as CEO immediately following Carl Eschenbach's departure from the role and the company's board, marking Bhusri's fourth tenure leading the enterprise software provider.[1]** The leadership transition signals a strategic pivot toward AI as Workday's defining competitive advantage, with Bhusri stating at Davos that the company possesses "the cleanest set of data in the industry" positioning it as "one of the AI winners in the enterprise."[2] Workday shares dropped roughly 6% on the announcement and are down approximately 43% year-over-year, reflecting investor concerns about the timing of the CEO reset and questions
🔄 Updated: 2/9/2026, 7:00:53 PM
**Workday co-founder Aneel Bhusri has returned as CEO immediately, replacing Carl Eschenbach who stepped down from both the executive role and board, effective today.**[2] The leadership shift comes as Workday positions itself to capitalize on AI transformation in enterprise software, with Bhusri stating that "AI is a bigger transformation than SaaS — and it will define the next generation of market leaders."[2] Workday's stock declined approximately 6% following the announcement, reflecting investor concerns amid a broader 43% decline over the past year, though the company maintains it is "uniquely positioned to be one of the AI winners in the enterprise" due to its incumbent customer base
🔄 Updated: 2/9/2026, 7:10:49 PM
**Workday co-founder Aneel Bhusri has returned as CEO, replacing Carl Eschenbach effective immediately, as the enterprise software company positions itself to compete in what leadership describes as an AI transformation "bigger than SaaS."[1] The leadership shift comes amid intensifying competition in the AI-driven enterprise software market, with Bhusri stating at Davos that Workday is "uniquely positioned to be one of the AI winners in the enterprise" due to its incumbent customer base and access to "the cleanest set of data in the industry."[2] Workday's stock tumbled roughly 6% on the announcement, reflecting investor concerns about the timing of the CEO transition
🔄 Updated: 2/9/2026, 7:20:49 PM
**Workday Shares Plunge Over 8%** as co-founder Aneel Bhusri returns as CEO following Carl Eschenbach's immediate departure, hitting a fresh 52-week low by the February 9 closing bell amid investor concerns over leadership instability.[1][2] Business Insider reported shares down roughly **6%** in intraday trading, extending a yearly decline of about **43%** as markets react to the sudden overhaul just after layoffs of about 400 employees.[3] Investors now eye Bhusri's strategy for AI integration ahead of fiscal 2026 earnings on February 24.[2]
🔄 Updated: 2/9/2026, 7:30:52 PM
**Workday Shares Plunge Over 8%** as co-founder Aneel Bhusri returns as CEO following Carl Eschenbach's immediate exit, with investors reacting sharply to the leadership shakeup amid recent layoffs.[4][5] By the closing bell on Monday, Workday (NASDAQ: WDAY) stock hit a fresh 52-week low after plummeting more than 8%, extending its year-to-date slide and reflecting concerns over strategic direction in the AI era.[4] Business Insider noted shares down roughly 6% intraday, down about 43% from a year ago, as markets question if Bhusri's return signals stabilization or deeper challenges ahead.[5]
🔄 Updated: 2/9/2026, 7:40:46 PM
**NEWS UPDATE: Workday Founder Bhusri Back as CEO After Eschenbach Exit – Consumer and Public Backlash Mounts**
Workday's **8% share plunge** to a 52-week low by Monday's close reflects sharp **investor discontent** with Aneel Bhusri's return, as markets view the sudden CEO swap amid recent layoffs of 400 employees (2% of workforce) as a sign of instability rather than strategic renewal.[4][5] Public skepticism echoes in analyst commentary questioning if Bhusri can reassure the company's **65 million users** that AI integrations from 2025 acquisitions like Sana Labs won't disrupt services, with one report warning of risks turning Workday into a "legacy vendo
🔄 Updated: 2/9/2026, 7:50:47 PM
**NEWS UPDATE: Workday Founder Bhusri Back as CEO After Eschenbach Exit – Consumer and Public Backlash Mounts**
Workday's **65 million users** face uncertainty after co-founder **Aneel Bhusri**'s return as CEO, with public reaction focusing on service stability amid recent layoffs of **400 employees** (2% of workforce) last week and **1,750** (8.5%) last year[1][3][4]. Shares plunged **8%** to a 52-week low, signaling investor doubts over strategy as analysts warn of risks to the **Workday Illuminate** AI platform from 2025 acquisitions like Sana Labs[4][5]. Mark Hawkins praised Bhusri'
🔄 Updated: 2/9/2026, 8:00:51 PM
**LIVE NEWS UPDATE: Workday Founder Bhusri Returns as CEO Amid Global Market Turmoil**
Workday's leadership shift, with co-founder Aneel Bhusri resuming as CEO after Carl Eschenbach's immediate exit, has rippled across international markets, triggering an **8% plunge** in NASDAQ-listed shares (WDAY) to a 52-week low and raising concerns for its **65 million global users** reliant on the enterprise AI platform for HR and finance[1][5]. Eschenbach, credited with steering "global expansion and operational scale," departs as the company integrates 2025 AI acquisitions like Sana Labs and Pipedream into its "Workday Illuminate" platform, with analysts warnin
🔄 Updated: 2/9/2026, 8:10:46 PM
**NEWS UPDATE: Consumer and Public Backlash Mounts Over Workday CEO Switch**
Workday's 65 million users face uncertainty as co-founder Aneel Bhusri returns as CEO just days after a 400-employee layoff (2% of workforce), with public reaction centering on fears of service disruptions amid the stock's 8% plunge to a 52-week low.[4][5][1] Investor sentiment turned sharply negative, viewing the move as a "nostalgic retreat" rather than innovation, while board member Mark Hawkins praised Bhusri as "no one better" for the AI era.[5][3] No direct consumer complaints have surfaced yet, but analysts warn of risks to the HR and finance platform'
🔄 Updated: 2/9/2026, 8:20:51 PM
**LIVE NEWS UPDATE: Workday CEO Transition Draws No Immediate Regulatory Scrutiny**
Workday, Inc. (NASDAQ: WDAY) filed a **Form 8-K** with the **Securities and Exchange Commission (SEC)** on February 4, 2026, ahead of today's CEO transition, disclosing expected fiscal 2026 Q4 financial results in line with prior guidance—except for GAAP operating margin adjustments as noted in the filing[3]. The SEC has not issued any public statements, investigations, or responses to the immediate replacement of Carl Eschenbach by co-founder Aneel Bhusri, effective today, amid the company's AI-focused pivot[1][2]. No other U.S. or international regulator
🔄 Updated: 2/9/2026, 8:31:04 PM
**NEWS UPDATE: Workday Founder Bhusri Back as CEO After Eschenbach Exit – Global Markets Reel**
Workday's leadership shift, with co-founder Aneel Bhusri resuming CEO duties effective immediately, triggered an **8% plunge** in shares (NASDAQ: WDAY) to a 52-week low, reflecting investor jitters across global markets amid AI-driven uncertainty for its **65 million users** worldwide.[4][2] International analysts highlight Eschenbach's tenure scaling operations during "global expansion," but note challenges integrating 2025 AI acquisitions like Sana Labs into the Workday Illuminate platform serving HR and finance sectors in Europe and Asia.[2][4] Bhusri vowed, "AI is a bigge
🔄 Updated: 2/9/2026, 8:40:56 PM
**NEWS UPDATE: Workday Leadership Shakeup Sparks Investor Sell-Off, Mixed Employee Signals**
Workday shares plunged over **8%** by Monday's close, hitting a 52-week low, as investors reacted negatively to co-founder Aneel Bhusri's return as CEO following Carl Eschenbach's abrupt exit amid recent layoffs of **400 employees** (2% of staff).[4][5] While public consumer reaction remains muted among the company's **65 million users**, board member Mark Hawkins voiced strong support, stating, *"As we enter a defining moment shaped by AI, there is no one better than Aneel to lead this next chapter."*[5] Employee sentiment is under scrutiny, with Business Insider seeking current and forme
🔄 Updated: 2/9/2026, 8:50:54 PM
**NEWS UPDATE: Workday Founder Bhusri Returns as CEO Amid Global AI Push**
Workday's leadership shift, with co-founder Aneel Bhusri resuming as CEO after Carl Eschenbach's immediate exit, reverberates across international markets as the U.S.-based ERP giant—serving over 20,400 employees worldwide—pivots to AI dominance during a period of global expansion.[2][4] European tech outlets like The Register highlight investor jitters, noting Workday's shares plunged 40% over the past year amid AI-driven layoffs of 1,750 staff (8.5% of headcount) in February 2025 and 400 more (2%) last week, signaling broader Saa