TikTok has restructured its sales division, which has led to job cuts.

The social media giant has made changes to its business solution teams.

Most of the staff affected are in North America, including those in charge of ad sales and client relationships with brands that run TikTok campaigns.

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Several TikTok employees who worked in roles such as brand strategy and ad operations posted recently on LinkedIn that they had been sacked.

One affected employee, who asked not to be named by Insider, said they knew at least 20 people were laid off this week.

The representative did not disclose the number of employees hit by the move.

They said: “I wasn’t expecting this. Especially because of how much revenue TikTok reported on ads last year. So it was kind of sudden.”

The shake-up was part of a planned shift in which the global business solutions team members would concentrate on certain industry areas.

It includes fashion, cosmetics, consumer-packaged goods (CPG), and entertainment.

A spokesperson said the layoffs were part of a wider company effort to examine its organization and see where it can continue to function effectively across its business.

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Affected employees were told they can may apply for other positions at the firm through TikTok’s jobs portal.

TikTok executives have previously forecasted success in its advertising revenue despite a larger slowdown in the IT and advertising sectors.

In June, Blake Chandlee, the company’s head of global business solutions, said the platform had not seen an ad market slump or some of the hurdles that other firms were experiencing.

He said: “I’ve heard there’s going to be a slowdown in the ad market, anywhere from 2% to 6%, but we have not seen it. 

“We’re not seeing the headwinds that some others are seeing.”

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In recent weeks, there have been staff cuts across the Chinese tech sector, including at TikTok’s parent firm, ByteDance.

Other creator economies and ad-focused businesses have lately laid off or halted recruiting.

Meta Platforms, which owns Facebook and Instagram, imposed a hiring halt in May in order to reprioritize its company.

In the same month, Snapchat creator Snap issued a profit warning, dragging down advertising and social-media stocks.

Source: Insider

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