Snap boss Evan Spiegel reportedly on Thursday framed the company’s recent mass layoffs as a chance to stick with the company’s “haters,” angering the rest of the workforce. It is said that
Spiegel’s remarks came after an all-hands meeting with Snap employees after the social media app cut about 20% of its workforce, or more than 1,200, as it coped with a prolonged stock price slump and slowing revenue and user growth. It was taken out inside.
Snap’s CEO has argued that while the series of pink slips is a setback, it’s a chance to “prove the haters wrong” for the company to move forward, a source familiar with his remarks said Insider. told to
Speigel’s comments reportedly further upset workers at a time when morale across the company was already “extremely low.”
“Kind, creative and smart are Snapchat’s motto,” said one of the workers laid off after the cuts, according to the outlet. It seems that.”
Spiegel read a prepared remark about the job cuts before answering some pre-selected questions from workers. “It is said that.
A person who attended the all-hands meeting said Mr. Spiegel also “deflected blame” for Snap’s massive hiring drive months before the layoffs, adding that fewer new employees than managers had requested. He claimed to have accepted the position.
At the same meeting, Snap reportedly said the remaining employees will be raising their stock-based compensation later this year, with the exact terms to be disclosed in the fall.
The Post has reached out to Snap for comment.
Snap publicly acknowledged the layoffs and released Spiegel’s memo to employees outlining the need for restructuring. The company also cut ties with two senior advertising executives.
“Unfortunately, given the current low revenue growth, it has become clear that we need to reduce our cost structure to avoid significant ongoing losses,” said Spiegel. said.
“We are restructuring our business to focus on three strategic priorities: community growth, revenue growth and augmented reality,” added Spiegel. “Projects that do not directly contribute to these areas will be canceled or their investment will be significantly reduced.”
Snap’s stock jumped nearly 9% after the company confirmed the layoffs.
The company’s stock has plunged about 75% this year due to fierce competition among social media apps and a slump across the tech sector. Macroeconomic conditions, including a series of rate hikes by the US Federal Reserve and uncertainty related to the war between Russia and Ukraine, have weighed on US businesses for months.
Snap joins other high-profile tech companies that have laid off this summer, including Netflix, Coinbase and LinkedIn. Other major tech companies, including Meta and Google, have enacted hiring freezes.