Netflix plans to cut 5% of its workforce, Puck News reports

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1. 1h ago

   Netflix Prepares Workforce Cuts Affecting 5 Percent of Staff

   Netflix is planning to reduce its workforce by about 5 percent, with an official announcement anticipated as early as next week. People familiar with the matter revealed the restructuring plan to Puck News, which first reported the impending reductions on Friday. The cuts are projected to eliminate between 800 and 850 jobs across the streaming giant, which maintains a total headcount of approximately 16,000 employees. Netflix declined to comment on the reports detailing the upcoming layoffs. The expected workforce reduction follows a period of stock languishing and a previous major round of layoffs executed by the company in 2022.

   Why it matters

   Streaming industry analysts are currently examining whether the job cuts represent a margin preservation strategy or a strategic pivot toward new growth engines. The streaming giant's last major round of layoffs occurred in 2022 just days after its stock bottomed. Netflix stock closed at $705 on October 9 following a 32 percent price decline over the preceding six months.

   What is confirmed

   • Netflix plans to cut about 5% of its workforce, according to Puck News.
   • An official announcement regarding the workforce reduction is expected as early as next week.
   • Netflix declined to comment on the layoff reports.
   • The streaming giant's last major round of layoffs came in 2022.

   Still unconfirmed

   • The company has not yet disclosed which specific departments will be affected by the job cuts.

   What to watch next

   • An official announcement from Netflix confirming the layoffs next week
   • Details regarding which departments or business units will absorb the cuts
   • Confirmation of the exact number of jobs eliminated
   Sources used for this update (16)

   1. Reuters — Netflix plans to cut 5% of its workforce, Puck News reports
   2. Puck — Netflix Is Sharpening the Layoff Axe
   3. Variety — Netflix Gearing Up to Lay Off 5% of Workforce: Report
   4. The Hollywood Reporter — The Netflix Ax Is Coming as Stock Languishes
   5. The Motley Fool — Netflix Is Reportedly Cutting 5% of Its Staff. Its 2022 Layoffs Came Days After the Stock Bottomed.
   6. Yahoo Finance — Is Netflix’s (NFLX) 5% Job Cut a Margin Play or a Bet on New Growth Engines?
   7. Los Angeles Times — Netflix plans substantial layoffs, sources say
   8. Deadline — Netflix Eyes Major Layoffs – The Dish
   9. variety.com — Netflix Layoffs Expected at Streamer Aims to Cut 5% of Workforce
   10. www.channelnewsasia.com — Netflix plans to cut 5% of its workforce, Puck News reports - CNA
   11. www.thestar.com.my — Netflix plans to cut 5% of its workforce, Puck News reports | The Star
   12. finance.yahoo.com — Netflix Plans 5% Workforce Reduction Starting Next Week
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