The tough economic climate has caused advertisers to cut back on expenditure, which has resulted in layoffs at media and news companies in the US.
Media Companies Layoff Staff
Vox Media (parent company) of NY Magazine, Curbed, and SB Nation, informed their employees that it will be laying off about 7% of its workforce. Other media companies are laying off employees such as BuzzFeed and Dow Jones & Co.
According to an internal statement read by the Wall Street Journal, Vox Media stated that the layoffs would affect revenue, editorial, and operations.
Jim Bankoff, the Chief Executive at Vox Media said: “We are experiencing and expect more of the same economic and financial pressures that others in the media and tech industries have encountered.”.
Several media businesses anticipate a decline in advertising revenue as compared to the same period last year as advertisers cut on budget spending. When times are tough economically, it’s not uncommon for businesses to reduce their advertising budgets as a first priority.
In December, BuzzFeed reported that it would be laying off around 180 people, or 12% of its total workforce.