Netflix has cut an additional 300 employees — around three percent of its workforce — marking the next round of major layoffs at the beleaguered streaming giant as it seeks to stem slowing growth.
“Both Ted and I regret not seeing our slowing revenue growth earlier so we could have ensured a more gradual readjustment of the business,” read a note sent to staff on Thursday from Netflix co-chiefs Reed Hastings and Ted Sarandos.
About 216 staffers impacted were in the United States and Canadian region, 30 employees were cut in Asia-Pacific countries, 53 in Europe, the Middle East and Africa and 17 in Latin America, the memo stated.
“We know these two rounds of layoffs have been very hard for everyone — creating a lot of anxiety and uncertainty. We plan to return to a more normal course of business going forward. And as we cut back in some areas, we also continue to invest significant amounts in our content and people: over the next 18 months, our employee base is planned to grow by ~1.5K to ~11.5K,” Hastings and Sarandos wrote.
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A Netflix spokesperson said in a statement that the cuts were made so that the streamer’s “costs are growing in line with our slower revenue growth.”
In May, Netflix laid off around 150 staffers due to “slowing revenue growth,” rather than “individual performance,” a Netflix spokesperson said at the time. In addition to the full-time employees, many of whom were in the animation department, Netflix also cut dozens of contractors working across the company’s social media and publishing channels, including those dedicated to underrepresented identities like Strong Black Lead, Con Todo, Most and Netflix Golden.
The staff cuts came shortly after another round of layoffs that saw the loss of multiple contractors and full-time staffers working at Tudum, a Netflix fan site run by the company’s marketing division. The company had debuted Tudum last December to produce consumer-facing digital content about its own titles like Bridgerton, Stranger Things, Love Is Blind and Selling Sunset.
The move comes as the company continues to grapple and respond to an increasingly difficult and competitive streaming environment as Netflix competes with tech giants like Amazon Prime Video and Apple TV+ as well as studio conglomerates’ platforms like Disney+, Hulu, Paramount+, HBO Max, and Discovery+. (In Nielsen’s April “State of Play” streaming survey, about 46 percent of respondents replied that “it’s harder to find the video streaming content t… (Read more)