F5 Inc (FFIV.O), a provider of cloud and security services, announced on Wednesday that it was decreasing costs by 9% by reducing its headcount and senior executives’ compensation.

Over the past few months, the technology sector has experienced a wave of layoffs as it struggles with slowing growth after a pandemic-driven rise in digital services.

F5’s downsizing strategy, which will result in job losses affecting 623 staff, also entails reducing spending on office space and executive travel.

The company’s CEO, François Locoh-Donou, stated in an email to staff that was included in a filing with the stock exchange on Wednesday that “it is clear that rising interest rates, geopolitical events, and macroeconomic uncertainty have dramatically affected our customers’ spending patterns… we must take measures to decrease our costs without jeopardizing our future growth trajectory.”

The Seattle, Washington-based company also revised its fiscal 2023 revenue growth prediction downward, to “low-to-mid single-digit” growth from an earlier forecast of 9% to 11% growth, which caused a 5% decline in its stock price in after-market trading.