Netflix sacks 300 more employees as revenue slows

Less than two months after it sacked 150 staff, video streaming company, Netflix has laid off another 300 employees, which represents 3% of its workforce.

The company says this became necessary to adjust its costs as it continues to record slower revenue growth.

According to the company, most of the laid-off employees were based out of the U.S. The job cuts affected employees in the Asia Pacific, Latin America and Europe, the Middle East, and Africa (EMEA) as well.

What they are saying

Netflix in a statement announcing the development on Thursday said: “Today, we sadly let go of around 300 employees. 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.”

“We are so grateful for everything they have done for Netflix and are working hard to support them through this difficult transition,” the company added in the statement.

What you should know

• Netflix joins a long list of companies like Coinbase, Better.com, and MasterClass that have let go of a significant number of their staff.
• The company hit a growth roadblock this year, as it lost more than 200,000 subscribers in the first quarter.
• At that time, the firm said that it expects to lose 2 million global paid subscribers in the second quarter. The company cited the Russian invasion of Ukraine, the COVID pandemic, and password sharing as some primary factors causing the slowdown.
• To bring the revenue and subscriber numbers up the company is working on numerous initiatives. It plans to Livestream its unscripted shows like stand-up comedies. It’s doubling down on its gaming efforts by launching new titles too.
• The company also plans to charge you more if people outside your household are using your account.