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The Penny Hoarder cuts staff as part of reorganization

The Penny Hoarder laid off a portion of its staff this week as part of a reorganization. Pictured is the company's website in March. | [Courtesy of The Penny Hoarder]
The Penny Hoarder laid off a portion of its staff this week as part of a reorganization. Pictured is the company's website in March. | [Courtesy of The Penny Hoarder]
Published Mar. 20, 2019

ST. PETERSBURG — Millennial-focused finance publication the Penny Hoarder laid off a portion of its staff this week as part of a reorganization.

Kyle Taylor, its CEO and founder, said in a statement that the company "had to make difficult decisions to better position and reorganize ourselves for the future, including the reduction of our team.

"The Penny Hoarder has always been an independent, bootstrapped company, and we intend for it to continue to be," Taylor said.

As of the end of 2017, the company had 80 employees. From Tuesday to Wednesday, 10 employees tweeted about being laid off, though the publication has not released an official number of job cuts.

"Our primary focus right now is to take care of our team members both who have exited, and those who remain," Taylor said.

Employees, the company said, were offered severance and outplacement services.

Among the issues that remain unclear is how government financial incentives earmarked for The Penny Hoarder will be affected by the cuts.

The publication was awarded state incentives in 2018 to create 165 positions by 2020. If accomplished, the Penny Hoarder would receive a maximum of $990,000. According to Ben Kirby, spokesman for Mayor Rick Kriseman, the city of St. Petersburg contributed $3,823.37 to The Penny Hoarder incentives thus far. Kirby said the mayor's office had been notified of the cuts but did not have a specific number of job losses.

There were some indications the Penny Hoarder's 2020 goal would not be met, however, as it requested an extension of time in early January for the 2018 job creation benchmark, Kirby said, which was approved.

The Penny Hoarder was heralded as the fastest-growing private media company in the country for two years in a row at the end of 2017 by Inc. magazine.

Correction: A previous version of this story incorrectly said that St. Petersburg contributed $9,823.37 in incentives. This was due to an error in data provided by the city.

Contact Malena Carollo at mcarollo@tampabay.com or (727) 892-2249. Follow @malenacarollo.

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