Snapchat parent company Snap Inc to cut 7 percent of its global workforce in March

Snap Inc on Friday said it cut 7 percent of its global workforce in March, as disclosed by it in a regulatory filing. The social media company said it would incur about $10 million of cash expenditure due to severance costs to be reflected in the current quarter ending March 31. [caption id=“attachment_3922107” align=“alignleft” width=“380”] Snapchat has lesser daily active users than Instagram. Reuters.[/caption] As a result of the layoffs, primarily in its engineering and sales teams, the company said it sees savings of about $25 million in 2018. The company had said it had 3,069 employees as of 31 December 2017, according to its annual filing. The **Snapchat** parent has been under pressure from investors to reduce costs after revenue fell short of analyst expectations during Snap’s first year as a publicly traded company. Earlier this month, a company memo had shown that the company would cut just over 120 engineers and reorganize its engineering team, Reuters reported. The Southern California-based company said the workforce reduction “is to align resources around our top strategic priorities and to reflect structural changes in our business.”