Digg has announced job cuts of 10 percent, amounting to lay-offs for around a dozen employees.
In an e-mail posted on the company blog (and via Cnet), the news sharing website's CEO Kevin Ross said: “This is one of the hardest decisions we've had to make recently but we strongly believe that it is the right decision for the long-term health of the company.”
These cuts are to be followed with hiring in the engineering and development departments, indicating that the company is trying to turn its fortunes around by developing new services.
The CEO, who replaced Jay Adelson last month, also hinted at a major re-designing process to be undertaken by the company in the near future.
Digg was once a dominant force in the social news market, allowing users to share any web page or news snippet on the Digg network.
The last time the company enforced similar job cuts, the extra funds were used to increase its sales team. Digg had been a hub for online news before losing market share to competitors like Facebook and Twitter.