Photo: Daniel Goodman / Business Insider
UPDATE: A source close to Gilt Groupe says the company has only cut back on its snack selection by 10%, which is commensurate with the staff cutbacks.Original: New York startup Gilt Groupe has cut 10% of its staff, or 80-90 people, and perphaps more shockingly, it’s eliminating free snacks, New York magazine reports.
It’s never a good sign when a hot startup cuts staff, but we’ve been told that the company plans to end the quarter with more employees than it started. (Of course, we also heard it was only going to let 50-60 people go, and it ended up much higher.)
But, cutting the free food? It sounds bad. It sounds like the ultimate in belt-tightening.
A sign now hangs on the fridge, “Gilt has made a New Year’s Resolution to cut the following items from our purchasing diet across all locations: all fruits, all yogurt, all cheeses, Thomas’ English muffins, granola and health bars, Rice Krispie treats, Poptarts, and Pellegrino.”
Gilt Groupe’s founder and CEO is also the founder and chairman of Business Insider.