Netflix to cut about 1,000 employees, or 6% of staff — CNBC

Netflix will cut approximately 1,000 employees, accounting for about 6% of the company’s workforce. The cuts will primarily affect teams responsible for product, technology, legal matters and human resources, CNBC reports.

Management’s position

Netflix co-CEOs Ted Sarandos and Greg Peters said in a letter to employees that fulfilling the company’s mission of entertaining audiences around the world requires disciplined prioritization in the allocation of personnel and resources.

The executives stressed that Netflix’s business is growing and that the company expects to meet its annual forecast. They also said they intend to continue actively investing in areas with the greatest impact on the service’s development, growth and innovation.

More current news is available on the UA.News Telegram channel Telegram.

According to Sarandos and Peters, the company has to make deliberate choices across different areas of operations in order to continue meeting its commitments to subscribers, partners, employees and investors. Netflix provided no additional comments beyond the executives’ letter.

Context for the service

The decision to cut jobs was made several weeks after Sarandos said at the Bloomberg Screentime conference that Netflix is not growing as quickly as he would like. The company is due to release its quarterly financial results on October 20.

According to CNBC’s assessment, Netflix remains profitable and a leader in the streaming services market, but content viewing time on the platform is stagnating. Restrictions on password sharing and the launch of a cheaper ad-supported plan have been the main factors attracting new subscribers. Last month, Disney also announced plans to cut about 300 employees, mainly in human resources management and technology.