Netflix is laying off about 150 employees across the company. As with most cuts in the United States, layoffs account for 2% of the company’s workforce. With the end of 70 operations and a shortage of social media and communications professionals, changes will be made to its content division as well. This information is taken from an internal memo obtained this Tuesday (17) by The Hollywood Reporter.
“As we spoke about earnings, our slowing revenue growth means that we as a company will also have to slow our cost growth,” a Netflix spokesperson said.
“Unfortunately, we are laying off about 150 employees today, most of them in the US. These changes are primarily driven by business needs rather than personal performance, which makes them especially difficult because none of us want to say goodbye to these great colleagues. We are working hard to support them in this very difficult transition.”
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The new round of cuts comes less than a month after Netflix’s editorial and marketing departments laid off several full-time employees and contractors. In April, Netflix announced that it had lost 200,000 subscribers during the first quarter of 2022 and expected to lose another 2 million during the second quarter.
The company will begin cutting spending to maintain its margins, though it still expects the streamer to spend $17 billion on content. “We’re trying to be smart and prudent in reducing some of that spending to reflect the realities of the business’ revenue growth,” CFO Spencer Newman said during Netflix’s first-quarter earnings call last month.