Investing.com -- BuzzFeed, Inc. disclosed its strategy on February 6, 2025, to decrease costs by implementing about a 5% reduction in its present workforce. The company’s aim is to streamline news operations for HuffPost through this workforce reduction. The company announced the cuts on January 7th.
The company anticipates recognizing restructuring charges associated with this workforce reduction plan. These charges include severance, outplacement services, and continuation of benefits. BuzzFeed estimates these charges will be within the range of $1.8 million to $2.0 million.
Most of these charges, which will primarily be cash expenditures, are expected to be recognized and paid primarily in the first quarter of 2025. The company intends to have the workforce reduction plan substantially completed by the end of the first quarter of 2025.
BuzzFeed projects annual pre-tax savings of approximately $4.0 million from this workforce reduction. The company anticipates these savings to be realized primarily from the second quarter of 2025 onwards. The move is part of the company’s broader strategy to manage its costs and streamline operations.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.