Netflix laid off around 300 people in its latest round of job cuts. Most of the layoffs took place in the United States, according to Varietyand several departments were affected.
“Today we unfortunately laid off approximately 300 employees,” a Netflix spokesperson told the publication. “As we continue to invest significantly in the business, we have made these adjustments so that our costs grow in line with our slower revenue growth. We are very grateful for all they have done for We and Netflix are working hard to support them through this difficult transition.
This is Netflix’s second round of layoffs due to slowing revenue growth. It laid off 150 employees, along with many part-timers and contractors, in May. The company has approximately 11,000 employees worldwide.
Netflix also laid off around 10 employees from its marketing department and internal news site, Tudum, in April. These particular layoffs were due to a reorganization of Netflix’s marketing team. These decisions were considered normal business decisions and were not directly related to cost reductions.
The latest layoffs follow a sharp drop in Netflix’s share price, which has fallen around 70% since the start of the year. In the first quarter of 2022, the company’s subscriber count fell for the first time. It fell by 200,000, largely because Netflix pulled out of Russia and lost 700,000 subscribers there. In its latest earnings report, Netflix said it also expects to lose up to 2 million subscribers in the current quarter.
Along with cutting costs, Netflix is looking for other ways to generate revenue. These include ad-supported plans and additional fees for those who share their accounts with people living in other households.
The company is hiring on other fronts and still plans to invest heavily in content. It has earmarked about $17 billion for this purpose this year. News of the layoffs comes the week after Netflix announced a reality competition series based on its conquering drama, squid game. The winner will take home $4.56 million.
Update for 6/23 at 4:30 p.m. ET: Clarified some details about layoffs in April.
All products recommended by Engadget are selected by our editorial team, independent of our parent company. Some of our stories include affiliate links. If you purchase something through one of these links, we may earn an affiliate commission.