Netflix job cuts deepen, 300 more employees laid off

Netflix confirms another round of layoffs as it continues to grapple with slowing growth

Netflix job cuts

Netflix job cuts continue as the streaming giant works to rein in costs amid its slowing revenue growth.

The company revealed on Thursday that it has laid off 300 staff members — that’s around 3% of its overall workforce which includes 11,000 full-time employees. Like previous Netflix job cuts earlier this year, these layoffs are mostly based in the U.S.

“While we continue to invest significantly in the business, we made these adjustments so that our costs are growing in line with our slower revenue growth,” a Netflix spokesperson told CNN Business of the reason for the company’s latest batch of layoffs. “We are so grateful for everything they have done for Netflix and are working hard to support them through this difficult transition.”

Netflix job cuts: When did it start?

Netflix job cuts began a few days after it announced in its earnings call last April that it had lost 200,000 subscribers — the first decline in the company’s membership in more than a decade. This shocking news led to the biggest-ever one-day drop in Netflix’s market cap on April 20th, when the company lost $54 billion in value.

Netflix’s first job cut this year impacted 25 employees in its marketing group. Many of these staff members were from the department’s Tudum fan-focused content team. These layoffs were followed by another batch of job cuts in May that affected 150 full-time employees across different departments.

Netflix’s layoffs last May also included 70 part-time jobs in the firm’s animation studio as well as freelance roles in the company’s social media and publishing group.

“A number of agency contractors have also been impacted by the news announced this morning. We are grateful for their contributions to Netflix,” a rep for the streamer said in a statement at the time.

What’s Netflix’s next move?

While it’s unclear whether there are more layoffs on the horizon, Netflix has been coming up with ways to turn the negative tide and improve its revenue growth rate. Some of the recently reported plans of the company include the introduction of a new lower-priced ad tier and cracking down on password sharing among subscribers.

Sources: CNN Business, Variety