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11% of employees will be affected by a round of layoffs at Vimeo in 2023

As the new year begins, Vimeo announces layoffs that will effect 11% of the company’s staff. CEO Anjali Sud announced the layoffs in an email to staff members today, citing a “uncertain economic situation” as the cause.

This was a really tough choice that will affect us all in significant ways. It’s the responsible thing to do if Vimeo wants to become a more efficient and profitable business. It allows us to invest in our growth goals and be sustainably profitable as we work to unleash the transformative potential of video to every organisation across the world, as Sud said. She also said that affected workers were informed via individual emails and invited to a meeting with their team leader and a human resources representative.

The bulk of those let go were workers from the Sales and R&D divisions.

Since July 2022, when 6% of its workforce was let off, this is not the first wave of layoffs for the video hosting platform. According to Sud, “additional worsening in economic conditions, in the shape of extended geopolitical strife, rising interest rates, and worldwide recession worries,” have hit Vimeo since the layoffs in July. The firm announced its quarterly profits in November, detailing a loss of nearly 100,000 customers from the previous quarter and an operational loss of $22.9 million.

Sud, though, is optimistic that Vimeo can recover. The team’s size and make-up “needs to reflect that emphasis,” she said as 2023 began, “since we are beginning 2023 with a more concentrated goal to simplify Vimeo.” Since we are now less reliant on the broader market to fulfil our growth and profitability targets, we are masters of our own fate.

Vimeo began trading publicly on the New York Stock Exchange in May of last year. Since its inception in2004, Vimeo has amassed a user base of over 260 million people, including major enterprises, startups, NGOs, and independent filmmakers.

According to Vimeo’s most recent regulatory filing for the year ending in December 2021, the company has 1,219 full-time employees.

Vimeo’s layoffs follow those of other prominent digital firms including Salesforce, Twitter, Meta, Amazon, and many more in recent months.