Patreon slashes a fifth of its workforce and closes two offices
Another San Francisco-based tech company announced mass layoffs and closed two European offices after an economic slowdown post-pandemic.
Patreon CEO Jack Conte announced Tuesday that 17 percent of staff, about 80 out of 470 staffers, would be let go from the company amid a change in the tech industry over the past nine months.
The company serves as a financial platform for video creators, podcasters, gamers, and other creators to receive support from their consumers.
‘Many of you have asked me about layoffs at All Hands meetings as we’ve set out to tighten our focus, and I’ve said that layoffs would be a last resort,’ Conte wrote.
‘Today we are taking that step, and I am deeply sorry to the kind, talented, creator-first people who will leaving Patreon.’
Departments with the most layoffs, included sales, operations, and finance. Those affected received a meeting invite following a mass email Conte wrote.
The company launched in 2013 and has about 250,000 creators who use the platform across the globe.
Aside from those laid off on Tuesday, five employees on Patreon’s security team were also let go last week.
Conte further announced the company’s offices in Berlin and Dublin would be shut down, but engineering employees had the option to relocate to the US.
Patreon CEO Jack Conte announced the company would layoff 17 percent of staff and close two offices following an economic shift
The company serves as a financial platform for video creators, podcasters, gamers, and other creators to receive support from their consumers
The number of payouts for creators significantly decreased in July
Employees laid off will receive three months of severance and additional coverage depending on the length of their employment.
Health care coverage for departing employees will also be taken care of until the end of 2022, along with three months of mental health coverage and job search support.
Conte concluded: ‘To our teammates who will remain at Patreon: the second Renaissance has already begun, and we have a massive opportunity ahead of us to change the course of history for creative people, to give them leverage and control, to give them direct relationships with their communities, and to help them build beyond their dreams.’
Patreon plans to shift the company’s focus to investment in their ‘product,’ along with engineering and design teams as they strive to maintain ‘outstanding service and support for creators.’
The job search for former employees began as Emily Metcalfe, a former Patreon Security Team member, launched her search on LinkedIn last week.
‘So for better or worse, I and the rest of the Patreon Security Team are no longer with the company,’ . ‘As a result, I’m looking for a new Security or Privacy Engineering role and would appreciate any connections, advice, or job opportunities from folks in my network.’
Despite the company undergoing an economic shift, Patreon announced in 2020 that the company was valued at $1.2 billion after securing $90 million in additional funding, according to the
True Crime Obsessed has led the way with the most Patreon supporters
True Crime Obsessed and The Tim Dillon Show have the most supporters on Patreon
Patreon is home to 250,000 podcasters, video creators, writers, gamers, musicians, and more.
The platform’s current top Patreon creator slot online is the True Crime Obsessed podcast, according to Graphtreon. The podcast with hosts Patrick Hinds and Gillian Pensavalle has more than 47,000 patrons donating to their show.
Following the crime podcast is The Tim Dillon Show with 42,600 patrons. Comedian Tim Dillon hosts his weekly show on YouTube for his 489,000 subscribers.