BuzzFeed Inc will cut about 12% of its workforce to reduce costs, the online media company said, as it joins a growing number of U.S. firms that have taken similar measures in anticipation of a potential economic downturn, reports Reuters.
As of Dec. 31, BuzzFeed had 1,522 employees across six countries – and a D.C. office – according to a regulatory filing.
“Our revenues are being impacted by a combination of worsening macroeconomic conditions, and the ongoing audience shift to vertical video, which is still developing from a monetization standpoint,” Chief Executive Officer Jonah Peretti said in a letter to affected employees.
“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.”