Netflix to cut about 1,000 jobs, roughly 6% of staff, in steepest layoff since 2022
Netflix confirmed it will lay off close to 1,000 employees — about 6% of its workforce — mainly in product, technology, legal and human resources, as the streamer faces slower growth and tougher competition from YouTube, TikTok and rivals.
The cuts: Netflix confirmed to TechCrunch on Wednesday that it is laying off about 6% of its employee base, or close to 1,000 staff. The BBC reported the same figure and called it the steepest cut since 2022. Most of the reductions will hit product, tech, legal and human resources, TechCrunch and the BBC said. Managers will tell employees whether their jobs are affected “soon,” the BBC reported.
What leadership said: In a memo first reported by the Wall Street Journal and cited by TechCrunch and the BBC, co-CEOs Ted Sarandos and Greg Peters wrote that Netflix’s mission “to entertain the world” is ambitious and “requires us to be disciplined about where we prioritize our people and resources.” They said the company will “continue to invest aggressively in high-impact areas” and is on track to deliver its full-year forecast. Netflix is due to report results on Oct. 20, the BBC said.
Growth pressure: Last month Sarandos told the Bloomberg Screentime summit that Netflix was “not growing as fast as I want us to,” the BBC reported. Netflix had about 16,000 full-time employees at the end of last year, according to its annual filing cited by TechCrunch. The last major round, in 2022, cut about 450 jobs after the company lost subscribers for the first time in more than a decade, the BBC said.
Competition and deals: TechCrunch noted that Netflix lost a protracted bidding war for Warner Bros. Discovery’s streaming and studio businesses to Paramount Skydance earlier this year. The BBC said the industry is consolidating after Paramount’s roughly $110 billion merger with Warner Bros., while free platforms such as YouTube and TikTok keep drawing viewing time. Market research cited by TechCrunch says social apps are catching Netflix on engagement and that YouTube surpassed Netflix in average daily viewing in 2025.
How Netflix is responding: The company has raised prices, expanded its ad-supported tier, and invested in live events, sports, gaming and children’s programming, TechCrunch reported. It has also bet on AI-supported features, video podcasts and short-form video while redesigning its mobile app. In 2025 Netflix reported $45.2 billion in revenue and said ad revenue had risen to over $1.5 billion, TechCrunch said. eMarketer analyst Ross Benes told the BBC that Netflix remains reliant on subscriptions that may be nearing a plateau and has struggled to find another major revenue line.