Dive Brief:

• E-retailer ModCloth is laying off some 40 to 50 members of its engineering, creative, product, producer, and social media teams, among others, mostly in San Francisco, according to TechCrunch. The layoff may be one of two downsizing actions that will be taken by the company by the end of the year, sources told TechCrunch.

• The news follows a round of layoffs of about 70 employees this summer.

• The company confirmed this downsizing news to TechCrunch and said that much of its operations will be relocated to Pittsburgh, where founders Susan Gregg Koger and Eric Koger started the business in 2006 before graduating from college.

Dive Insight:

ModCloth says it’s suffering from difficulties in the retail sector, but the quickly expanding company may also be having some growing pains.

In fact, things may not be as bad as they seem. Some of the original rumors — that the retailer’s popular blog would be shut down, for example — turn out to be false. The e-retailer has expanded swiftly, with offices in San Francisco and Los Angeles and well as in Pennsylvania, since its founding in 2006, and may need to downsize and rightsize.