Netflix fire 300 employees over falling subscriptions
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New Delhi: Netflix has let go of 300 employees after the streaming company has started rapidly losing paid subscribers, severely slowing down its revenue.
The latest job cuts follow previous layoffs close to 150 employees due to poor revenue earnings.
A drop in its stock price is blamed for the company's downfall, according to India Today.
Netflix had plans to trim expenses in order to tackle slowing growth and fall in revenue.
The company's most jobs losses have been reported in the US, happening across its business divisions, the report says.
At least 2 percent of Netflix's 11,000 workforce has lost jobs in the second round of layoffs.
A spokesperson for Netflix said on Thursday the company made the adjustments as the company's costs are growing in line with its slower revenue growth.
The job cuts have to do with business situation rather than individual performance, according to reports.
Reporting $7.87 billion in Q1, Netflix fell short of Wall Street's estimate of $7.93 billion.
Netflix had earlier said it lost over 2 lakh subscribers unlike ever before and envisaged losing additional 2 million in the next quarter to the war between Russia and Ukraine.
The company had stopped its services in Russia following the country's invasion of Ukraine.
However, Netflix is working on a cheaper subscription plan hoping to attract a lot of users.
Alongside the company is working to tackle password-sharing, a major issue that worries the company a lot, to boost subscriptions.
