Snapchat CEO laid off 1,200 and really didn't read the room

CEO of Snap Inc. Evan Spiegel apparently angered employees after trying to offer words of encouragement following news that the company would be laying off 20% of the company.

On Wednesday, Snapchat announced they would be cutting their workforce back due to their current rate of lower revenue growth.

"It has become clear that we must reduce our cost structure to avoid incurring significant ongoing losses," the statement from Spiegel to employees reads.

The company also decided to cease projects like original shows and in-app games.

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According to a report from Business Insider, Spiegel told employees that while the lays off were a setback it was a chance for Snap to “prove the haters wrong” during the meeting.

Employees told Business Insider they felt the alleged sentiment did not help the tone and mood of the meeting.

The 1,200 employees losing their jobs are a result of Snap's loss in revenue over the year due to new changes in Apple's advertising policy and fears of a recession.

Last year, Apple changed their privacy policy so users can opt-out of app tracking which makes targeted marketing easier. Social media companies, like Snap, have had trouble navigating the new change.

"While we have built substantial capital reserves, and have made extensive efforts to avoid reductions in the size of our team by reducing spend in other areas, we must now face the consequences of our lower revenue growth and adapt to the market environment," the statement from Spiegel said.

The company has lost nearly 80 percent of its value since the beginning of the year.

We reached out to Snap for comment.

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