MediaCA

Wattpad Layoffs

March 2023

Wattpad announced a layoff affecting 42 employees (15% of its workforce) in March 2023. The company operates in the Media sector.

People Affected

Percentage

15%

Announced Date

Mar 8, 2023

About

Wattpad, the Toronto-based online storytelling platform, has laid off 42 employees, representing 15% of its 267-person workforce. The company-wide cuts were announced by interim president KB Nam, who cited the "changing economic environment" as the primary reason, stating that the global economic shifts have impacted the business despite efforts to mitigate them. This decision follows a period of significant growth, including hiring nearly 100 employees over the past two years after its acquisition by Naver for $754 million CAD. Operating in the tech and digital media industry, Wattpad, which boasts a community of over 94 million users, is now recalibrating its team size to align with current business realities amid broader economic uncertainties affecting the tech sector.