TikTok is joining the ranks of companies implementing job cuts, with reports indicating that at least 100 employees in locations such as Los Angeles, New York, Austin, and international offices have been laid off.
Concerns about the accuracy of information surrounding autism have been raised as TikTok becomes a hub for sharing content related to the condition.
Reducing Workforce in TikTok
TikTok is implementing a workforce reduction to trim expenses, as reported by The Verge. This move aligns TikTok with a recent trend in the technology sector, where several companies have undertaken staff reduction measures in recent weeks.
The extent of the layoffs and the specific divisions impacted remain unclear. However, sources from TikTok shared that it appears at least 100 roles globally have been eliminated. The job cuts span locations such as Los Angeles, New York, Austin, and international offices.
In response to the layoff announcement, employees have revealed that the company has scheduled a town hall meeting, set to take place on Tuesday.
Observers in the tech industry have pointed to various factors for the recent job losses, ranging from companies reorganizing their workforces to prioritize artificial intelligence, persistent overstaffing lingering from the pandemic, to businesses aiming to enhance shareholder profits.
Joining Other Tech Companies
This workforce reduction aligns with a broader trend of job cuts in the tech industry this year, with notable instances at companies like Google, Amazon, Unity, and Discord.
In a notable move earlier this month, Twitch, owned by Amazon, executed a workforce reduction, letting go of approximately one-third of its employees.
This recent wave of job cuts comes in the wake of a leadership transition in 2023, where CEO Emmett Shear stepped down, making way for Dan Clancy to assume the role of CEO at the Amazon-owned live-streaming platform.
Under the new leadership, cost-cutting measures have posed challenges, but Clancy has garnered positive feedback from streamers due to his openness to address their concerns.
Notably, the decision to shift Twitch's focus from content to advertising revenue sparked discontent among several streamers, leading to a reevaluation of the strategy. However, during Clancy's tenure, Twitch experienced two rounds of layoffs last year, resulting in the elimination of over 400 jobs.
Additionally, key executives, including the chief product officer, chief customer officer, and chief content officer, announced their resignations in the latter part of 2023. The top revenue officer, affiliated with Amazon's Ads division, also departed from the company.
TikTok's Journey
TikTok stands as one of the most widely used apps in the United States, boasting a workforce of approximately 7,000 employees in the country. Its parent company, the Chinese tech giant ByteDance, operates with a vast global team, exceeding 150,000 workers.
Despite longstanding concerns from Washington officials regarding national security due to its association with ByteDance, NPR reported that TikTok has experienced remarkable growth.
The platform claims to have accumulated over 150 million active users in the U.S. ByteDance, with an estimated valuation of $225 billion, is considered one of the most valuable private companies globally.
