Anything For You All: Snap hit with more layoffs, plans to slow hiring in 2018

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October 20, 2017

18 people have been laid off from Snap's recruiting division.
More cuts are expected as managers institute a new system for evaluating employee performance.
In an email to employees last month, CEO Evan Spiegel said the company would slow its hiring rate next year.

Snapchat parent company Snap Inc. has been hit with more layoffs as management evaluates trimming headcount across different teams.

18 employees were laid off in the company's recruiting division this week, according to people familiar with the matter. A Snap spokesperson confirmed the cuts to Business Insider on Friday but declined to comment further.

Snap is also planning to slow its hiring next year. In an email sent to employees last month, parts of which were seen by BI, Spiegel said the company would hire at a "slower rate" in 2018, and that leaders would be asked to make "hard decisions" about employees who aren't performing well.

Snap laid off roughly one dozen people supporting the hardware division that makes its Spectacles camera glasses last month, BI previously reported. People close to the company said that more cuts could be made as managers institute a new system for evaluating employee performance. Six-year-old Snap hasn't implemented a consistent way to track and evaluate employee performance to date, the people said.

Snap's headcount has ballooned rapidly in the last two years, from 600 employees at the end of 2015 to 1,859 at the end of 2016. The company reported having 2,600 employees last quarter.

Snap's stock is down roughly 28% in the past six months as investors question its ability to grow revenue under mounting competition from Facebook.

Do you know more about what's happening at Snap? Contact the author securely and discreetly via Twitter DM or email at aheath@businessinsider.com.