Substack is the newest tech firm to announce layoffs, with the corporate’s CEO Chris Greatest tweeting on Wednesday that he’s letting 13 staff go. In line with Axios, that’s round 14 p.c of Substack’s workforce. In his letter and follow-up tweets, Greatest cites “market circumstances” as the explanation behind the layoffs.
He additionally admits that the transfer could also be a shock to some workers. “Not so way back, I advised you all that our plan was to develop the staff and never do layoffs,” he says, additionally noting that the corporate is “nonetheless hiring for particular key roles” and has cash saved. Nonetheless, Greatest says that the corporate wants to alter techniques, because it could possibly be dealing with “an prolonged interval” the place the economic system goes from unhealthy to worse. He says that the layoffs are considered one of a number of adjustments the corporate has made to verify it’s in “a robust monetary place.”
The folks we’re saying goodbye to in the present day are all gifted, nice individuals who care deeply about serving to readers and writers. It hurts to allow them to go. We’ll miss them.
— Chris Greatest (@cjgbest) June 29, 2022
In line with The New York Instances, a few of the workers laid off had been concerned in human assets and author assist. The report additionally says that Substack not too long ago halted efforts to safe funding from traders, however that its income continues to be rising.
In April, Substack confronted a minor controversy round its hiring efforts when its vice chairman of communications tweeted a hiring hyperlink whereas noting a particular sort of worker she mentioned the corporate didn’t need. “For those who’re a Twitter worker who’s contemplating resigning since you’re frightened about Elon Musk pushing for much less regulated speech… please don’t come work right here,” she mentioned. The corporate has traditionally mentioned that it locations a variety of significance on free speech.
Substack is much from the one firm shedding a major share of its staff prior to now month or two. Corporations like Tesla, Netflix, Klarna, Higher.com, and Cameo have all lower jobs, as have a number of massive crypto companies.