Vice Media is the newest firm to be hit by mass layoffs and a change of focus because the digital journalism business continues to shift.
In an inner memo to workers on Thursday obtained by Insider, Vice CEO Bruce Dixon introduced that the corporate can be shedding lots of of staffers upon the choice to cease publishing authentic content material on its web site.
“We create and produce excellent authentic content material true to the Vice model. Nonetheless, it’s not cost-effective for us to distribute our digital content material the best way now we have executed beforehand,” Dixon wrote. “Shifting ahead, we’ll look to accomplice with established media corporations to distribute our digital content material, together with information, on their international platforms, as we absolutely transition to a studio mannequin.”
Associated: Report: Vice Media Headed For Bankruptcy
Dixon stated that the corporate can be “placing extra emphasis” on social media platforms, although the corporate’s lifestyle-focused website, Refinery 29, will proceed to function independently. Nonetheless, it’s famous that Vice is in “superior discussions” to promote that outlet and that workers can count on an announcement concerning the potential sale within the coming weeks.
“That is curtains for me, I am afraid, after 9 years,” former Vice staffer Tess Owen wrote on X. “Feeling far and wide emotionally, & extra to return tomorrow, however one factor I’ll say is that Vice, to me, has at all times been concerning the work & the individuals who made the work.”
Workers affected by the layoffs are anticipated to seek out out by early subsequent week.
“I do know that saying goodbye to our valued colleagues is tough and feels overwhelming, however that is the most effective path ahead for Vice as we place the corporate for long-term inventive and monetary success,” Dixon stated. “Our monetary companions are supportive and have agreed to take a position on this working mannequin going ahead. We’ll emerge stronger and extra resilient as we embark on this new section of our journey.”
Vice Media filed for Chapter 11 chapter in Could 2023 in New York’s Southern District Court docket, with the corporate’s property and liabilities listed between $500 million and $1 billion.
Associated: Snap Inc. to Layoff 10% of Its Total Global Workforce
The corporate was founded by Shane Smith as {a magazine} in 1994 earlier than pivoting to digital media and streaming on HBO in 2013. It launched its personal video channel, Viceland, in 2016. By 2019, each the HBO programming and Viceland had been canceled.
Former CEO Nancy Dubuc also left the corporate final yr earlier than the chapter submitting.
