Netflix has announced its most significant workforce reduction to date. According to reports, the streaming platform will eliminate 6 percent of its staff, representing approximately 1,000 positions. This is Netflix's biggest round of layoffs since 2022, as per Wall Street Journal.
The company currently maintains a full-time workforce of around 16,000 employees.
Netflix layoffs: Co-CEOs issue letter to staff
According to a Variety report, Netflix's co-CEOs Ted Sarandos and Greg Peters informed staff about workforce reductions via email on Wednesday morning. The layoffs will affect employees across Netflix's product, technology, legal, and human resources divisions.
"Team — We wanted to share that we are making a number of organizational changes and, as a result, we’ll be letting go of roughly 6% of our colleagues, with the greatest impact to our product, tech, legal, and HR teams.
"Decisions like these are never easy, and we don’t take them lightly. Our top priority today is to support those who are leaving Netflix. The process will vary somewhat by country, but leaders will be connecting with impacted employees soon. If you are leaving, please know that we will support you throughout this transition and make sure you have as much clarity and context as possible. We also want to say thank you. What you’ve built, and the care you brought to Netflix, have made a lasting difference and we will always be grateful.
“Our mission — to entertain the world — is ambitious, and delivering on it requires us to be disciplined about where we prioritize our people and resources,” the co-CEOs said in the memo, as per Variety.
{{/usCountry}}“Our mission — to entertain the world — is ambitious, and delivering on it requires us to be disciplined about where we prioritize our people and resources,” the co-CEOs said in the memo, as per Variety.
{{/usCountry}}In their memo, the co-CEOs affirmed that Netflix maintains robust business fundamentals with continued expansion, and they are positioned to achieve their full-year financial projections.
"We’ll continue to invest aggressively in high-impact areas to improve our service and further drive growth and innovation," the CEOs added.
They, however, added, “Doing that means making focused choices across the business so we can keep delivering for our members, partners, employees, and investors.”
Netflix job cuts in 2022
Netflix previously implemented workforce reductions in 2022 following a significant decline of 200,000 subscribers during the first quarter, resulting in the elimination of 450 positions.
The current job cut announcement precedes the streaming platform's scheduled quarterly earnings release on October 20.