BuzzFeed Inc. is set to close its news division, leaving dozens of employees facing layoffs as the company moves to reduce its workforce by 15%. This decision was announced in a memo sent by BuzzFeed News founder and CEO Jonah Peretti on Thursday.
Peretti stated that the closure is part of a larger effort to decrease employee numbers within the media brand. The announcement comes after ongoing struggles with profitability due to factors such as the pandemic, tech recession, tough economy, and decelerating advertising market.
In an attempt to save some jobs affected by this move, over a dozen BuzzFeed News staff members will be offered employment opportunities at HuffPost and BuzzFeed.com. Despite his love for the work produced by his news team, Peretti acknowledged that social-media platforms would not provide sufficient financial support required for continued success.
"I made mistakes," he admitted in his message to staff regarding performance shortcomings amidst global challenges. "The leadership team could have performed better despite these obstacles."
Additionally, Chief Revenue Officer Edgar Hernandez and Chief Operating Officer Christian Baesler are set to leave their positions alongside other high-profile departures from the organization.
As approximately 180 people out of 1,200 employees face job losses from this layoff wave sweeping through business operations like content creation and administration teams alike, it remains clear that significant changes are necessary for building a better future at BuzzFeed Inc., according