Media

Vox Media Lays Off 6% Of Its Workers As COVID-19 Continues To Affect Business

Brian Ach/Getty Images for TechCrunch

Shelby Talcott Senior White House Correspondent
Font Size:

Vox Media is laying off 6% of its workers due to effects from COVID-19, CEO Jim Bankoff announced in a memo Thursday.

The layoffs will see around 70 employees let go, Variety reported. Most, though not all, of the employees being let go were furloughed back in May, according to Bankoff. At that time, the media company furloughed 9% of its staff for three months in an attempt to cut costs amid the crisis.

“It goes without saying by now that COVID-19 has had an impact that no one could have anticipated,” Bankoff wrote in the memo. “While our work and efforts have never been stronger or more relevant, Vox Media is not exempt from the pain caused by the wake of the pandemic. (RELATED: REPORT: Vox Will Announce Around 100 Employee Furloughs)

Vox Media includes numerous brands such as Vulture, SB Nation and New York Magazine, according to Variety. The company “has already or will bring back close to 30% of furloughed employees who did not take buyouts,” Bankoff wrote.

“Our hope in May was that business would bounce back in the months that followed,” according to Bankoff’s memo. “As we discussed in last week’s all-hands, it’s becoming increasingly clear that the second half of the year will not rebound anywhere near our pre-COVID forecasts. Furthermore, as cases rise tragically across the country and many of our elected leaders avoid decisive action, we have very limited visibility into the timing or strength of a recovery.”

Much of the layoffs will come from editorial spots at Curbed, sports sections at SB Nation, IT operations and events staff, according to Variety. Vox also plans to reinstate full salaries, minus Bankoff and Vox Media’s executive team.

The company’s revenue for its second quarter were down by 40%, according to an earlier report from CNBC. Vox is currently estimating that its revenue for the entire year will be decreased by 25%, CNBC added.

“The decisions made today are not a reflection of your work or success, but of a devastating pandemic that transformed the economy and businesses around the world,” the memo added. “The rest of us who are not impacted today will also be deeply affected by the departure of our colleagues.”

Vox did not immediately respond to a request for comment from the Daily Caller.