BuzzFeed Releases an Announcement That’s a Disappointment to Many
This week BuzzFeed made the announcement that it’ll be cutting 15% of its workforce. That’s alarming news for its followers, and devastating news to the employees affected.
On Wednesday BuzzFeed CEO Jonah Peretti announced that the company would be laying off 15% of the companies employees. This is due to happen in the following week. One can only hope that the employees got more notice than the general public did.
The layoff is part of a larger restructuring plan. It’s one they’re hoping will reduce costs in the long run. Peretti said that while the revenue has been growing, “unfortunately revenue growth by itself isn’t enough to be successful in the long run.”
BuzzFeed states that they have about 1,450 people employed, spread throughout 18 different cities around the world. If we assume that their estimate of 15% of the workforce is expected to be laid off, that means that more than 200 people will be losing their jobs next week.
This is following another restructuring attempt last year, which resulted in about 100 people losing their jobs. Here’s hoping they’re done restructuring for the near (and extended) future.
BuzzFeed isn’t the only internet based company that has been struggling as of late. They’re also not the only company to be announcing layoffs at this time. Vice Media, Verizon’s media group (AOL, Yahoo, HuffPost), and Gannett have all been facing layoffs in the past month.
Vice Media is also laying off an expected 15% of their employees, while Verizon’s media group is laying off 7%. There’s no estimate for Gannett yet, only that layoffs are currently underway.
Understandably, the reactions from many have been…less than positive on the matter.
Here's Jonah Peretti dismissing the value of a union at Buzzfeed back in 2015. https://t.co/omxsejnKdm
— Zach Schonfeld (@zzzzaaaacccchhh) January 24, 2019
remember when jonah peretti told buzzfeed staff they didn't need a union
— john wilmes (@johnwilmeswords) January 25, 2019
A lot of great BuzzFeed reporters will suffer for a while before finding new outlets that will be lucky to have them.
Simultaneously, a thousand leadership panels will invite Jonah Peretti to talk about how brave it is to shift the costs of mismanagement onto employees.
— Johnny McNulty (@JohnnyMcNulty) January 25, 2019
"I care about the people at BuzzFeed more than anything other than my family.” – Jonah Peretti, two goddamn days ago https://t.co/OlbeyfJkBm
— Barry Petchesky (@barry) January 25, 2019
BuzzFeed staffers chewed out CEO Jonah Peretti on the day that the company began laying off 15% of their staff: “It is dire to watch this occur and it is dire to observe the same mistakes over and over.” https://t.co/Fd7XjTaEjo
— The Daily Beast (@thedailybeast) January 25, 2019
The news of BuzzFeed’s layoff comes hot on the heels of a controversy the company is currently embroiled in. About a month ago the company threw itself into a hotly debated area of news; Trump. They shared an article declaring that Donald Trump had told Michael Cohen to lie to Congress about tower negotiations. It was an article that almost every major news agency out there picked up. And BuzzFeed is sticking with their story.