Vice Media is planning to lay off hundreds of employees, according to a memo sent by CEO Bruce Dixon. This comes at a time when companies around the world are cutting their workforce. The media company will also put a halt on publishing content on its Vice.com website.
The company, which underwent bankruptcy proceedings and was subsequently acquired for $350 million by a consortium led by the Fortress Investment Group, is also exploring options to sell its Refinery29 publishing business, as per a report by AP.
Dixon did not provide detailed information regarding the layoffs, except to mention that hundreds of individuals will be impacted and will receive notifications early next week. According to The New York Times, Vice Media presently employs approximately 900 staff members.
He mentioned that Vice is finding its current method of distributing digital content, including news, financially unsustainable. He highlighted the company's intention to prioritize its social channels and explore alternative distribution methods. He further stated that Vice would adopt a studio model as part of its strategic transition, the report said.
Last year, Vice discontinued its 'Vice News Tonight' television program as part of a round of layoffs. This was prior to filing for bankruptcy protection.
Also read: Paramount Global Lays off 800 Employees In Pursuit of Earnings Growth, Says Report
According to the report, it is the most recent indication of financial difficulties being faced by the media industry. Digital platforms such as The Messenger, BuzzFeed News, and Jezebel have ceased operations, while established media organizations like the Los Angeles Times, Washington Post, and Wall Street Journal have witnessed layoffs.
