Buzzfeed slashes team by 12 per cent in bid to save cash
Buzzfeed will cut 12 per cent of its headcount in a desperate push to slash costs in the face of economic uncertainty.
In a note written to staff, the firm said revenues had been battered by a “combination of worsening macroeconomic conditions, and the ongoing audience shift to vertical video”.
“That requires us to lower our costs. Unfortunately, reducing our workforce is an essential part of cost cutting. Staff salaries are the single largest cost at the company,” the digital media business added.
The company also cited its recent integration with Complex Media, which creates and distributes programming with premium distributors, including Netflix, as a key driver behind the cuts.
According to a regulatory filing from December 2021, BuzzFeed had 1,522 employees across six countries, meaning that nearly 200 staff may have lost their jobs in this recent cull.
The firm, which has made a series of layoffs in recent years, expects to largely complete the workforce reduction plan by the end of the first quarter of next year.
Buzzfeed has had a rocky time since it floated on the Nasdaq last summer, and in November said time spent on its brands tumbled a third year-on-year.
Although revenue grew 15 per cent to more than $100m in the third quarter of this year for Buzzfeed, losses grew 7.5-fold over the same period to $27m.
Shares have tumbled nearly 80 per cent in the year to date.