Slowing growth and the economic slump have forced Netflix to cut 300 jobs, which represents 3% of its employees. After laying off 150 employees in May, this is the company’s second round of layoffs in as many months. Tudum, the company’s editorial arm that debuted just a year ago in December, also lost a significant number of employees in April.
Netflix said on Thursday that it had laid off about 300 staff. To keep expenses in line with revenue growth, we’ve made these modifications while still investing heavily in the company…. We are appreciative for all they have done for Netflix and are working hard to help them through this tough transition,” a company spokeswoman said in a statement.
While the majority of those who lost their jobs were located in the United States, the company also reported layoffs in Asia, Latin America, and Europe, the Middle East, and Africa (EMEA).
In the same vein as Coinbase, Better.com, and MasterClass, Netflix has laid off a significant portion of its workforce.
In the first three months of this year, the firm lost almost 200,000 users, putting the brakes on its expansion. They predicted a loss of 2 million worldwide paying customers over that time period. The Russian invasion of Ukraine, the communicable disease epidemic, and password sharing were all listed as contributing to the delay by the corporation.
Netflix stock, which was priced at roughly 512 a year ago, is now trading at 178.93 – a 65 percent decline.
Multiple strategies are being used by the firm in an effort to increase income and subscribers. Unscripted programmes, such as stand-up comedy, will be streamed in real time. It’s also introducing new games as part of its gaming push.
In addition, the corporation aims to charge you extra if your account is used by someone outside of your family. This function has previously been tested in Chile, Costa Rica, and Peru, but it’s not going well. In order to appeal to a broader audience, the streaming service intends to introduce an ad-supported tier this year.