Reddit to Reduce Staff by Approximately 5 Percent
On Tuesday, Reddit announced that it will be reducing its workforce by approximately 5%, which equates to 90 employees. This move puts Reddit in line with other technology companies that have been downsizing their staff in the corporate sector.
Tech companies including Meta Platforms have cut jobs during the pandemic after aggressive hiring as the industry braces for an economic downturn.
Facebook owner Meta cut jobs in its business and operations units last month as it implemented the latest in a trio of layoffs, the first of which it announced in March that it would cut 10,000 jobs.
Reddit, which split from magazine conglomerate Conde Nast in 2011, has recently seen a surge in traction as the popularity of WallStreetBets and other forums on its platform has become a place for retail investors to speculate on stocks.
The Wall Street Journal first reported Reddit’s move on Tuesday, citing an email CEO Steve Hoffman sent to employees.
Hoffman said the company also plans to reduce hiring for the rest of the year to about 100 people from 300 previously, according to a Wall Street Journal report.
In December 2021, Reddit secretly filed for an IPO with the US Securities and Exchange Commission after the company’s message boards became a popular target for day traders during the meme stock craze.
