(Bloomberg) — ServiceNow Inc. is restructuring its user training program RiseUp amid low job placement rates and a corporate backlash to diversity-focused initiatives.
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Over the last year, multiple workers have been let go and key leaders left, according to people familiar with the matter. Some contractors who mentor students and create curriculum also were cut, said the people, who asked not to be named discussing internal information.
RiseUp is meant to train workers to implement and manage ServiceNow’s technology at customer companies or consultant firms. Often, it’s targeted at people trying to break into the tech industry with limited experience. Similar programs are offered by Salesforce Inc., SAP SE and Alphabet Inc.’s Google.
A ServiceNow spokesperson said the company has worked this year to evolve “what was the previous RiseUp agenda into a holistic learning strategy and platform called ServiceNow University.” The headcount and budget haven’t changed year-over-year, the spokesperson said.
Across corporate America, companies including Walmart Inc., Boeing Co. and Zoom Communications Inc. have pulled back or rebranded their investment in diversity-oriented programs in the wake of last year’s Supreme Court ruling banning affirmative action in college admissions. The decision raised questions about the legality of corporate diversity programs and spurred a backlash against these efforts. ServiceNow in its annual report on diversity, equity and inclusion calls the RiseUp training program a step toward creating “equitable processes, policies and practices.”
Santa Clara, California-based ServiceNow makes applications that help companies organize and automate their personnel, information technology and customer service operations. It has grown rapidly in recent years and generates more than $10 billion in annual revenue from customers including AT&T Inc. and the US Army. The company employs almost 24,500 workers, and Chief Executive Office Bill McDermott says the software maker hasn’t done “layoffs” in recent years like many tech peers.
RiseUp advertises jobs in the industry paying more than six figures for trainees who complete the program. But for those who have gone through RiseUp, success isn’t guaranteed. Graduates have had difficulty finding positions that use ServiceNow’s products, the people said.
