Reddit to cut 5% of workforce, slow hiring in restructuring move: report

Social-media company Reddit will reportedly cut 5% of its workforce, or about 90 employees, and slow hiring more than a year and a half after reportedly filing for a confidential initial public offering, according to the Wall Street Journal on Tuesday, citing an internal email sent to employees. Hiring for the year will also be slowed to about 100 new hires, down from a previously estimated 300, Chief Executive Steve Huffman told employees, the WSJ reported. Reddit uses discussion sites called subreddits where users can engage each other on any imaginable topic, or where often famous users can initiate “ask me anything” threads, or in the case of subreddits like WallStreetBets, create a buy and hold market for once-left-for-dead stocks like GameStop Corp.
GME,
+1.60%
and AMC Entertainment Holdings Inc.
AMC,
+0.43%.
Reddit has already raised about $1.3 billion in venture capital, according to Crunchbase. Reddit filed confidential paperwork in January 2022 for a possible initial public offering seeking a valuation of as much as $15 billion, Bloomberg had reported at the time.