Nasty Gal Lays Off Up to 10% of Staff

Online retailer says it's strategic

Nasty Gal, an online retailer for young women, reportedly slashed up to 10 percent of its workforce in recent weeks. The company released 20 employees from its public relations and technology departments, with plans to outsource that work, reports Women's Wear Daily.

Fashion entrepreneur Sophia Amoruso founded the site in 2006, selling apparel, footwear and accessories. Inc. magazine named it one of the fastest-growing companies in 2012. And in her recently published memoir, #GIRLBOSS, Amoruso offers business advice for aspiring female entrepreneurs.

But in addition to layoffs, Nasty Gal has struggled with negative press regarding working conditions. On sites like Glassdoor, former employees have expressed frustration with management and business ethics.

Amoruso released the following statement to TechCrunch regarding the layoffs: "We made some changes yesterday in order to strategically reorganize the business to fit our vision of the future. We are building a powerful brand that leads the market and are committed to creating something that has never been created before."

Nasty Gal isn't the only online apparel store laying off workers. In July, Modcloth laid off 15 percent—equivalent to 70—of its workers. Gilt also laid off 10 percent of its employees in January 2012.