Netflix Lays Off 1,000 Employees as Company Cuts 6% of Staff

Netflix announced on Wednesday that it has laid off around 1,000 employees, which amounts to approximately 6% of its workforce. This decision comes as the streaming giant struggles with slower-than-anticipated growth. Co-CEOs Ted Sarandos and Greg Peters informed staff of the cuts via email, attributing the move to a need for discipline in prioritizing resources and personnel. The majority of the layoffs affect teams in product development, technology, legal, and human resources.

The layoffs were first reported by the Wall Street Journal. As of 2025, Netflix employed approximately 16,000 full-time employees. The company's last significant workforce reduction occurred in 2022, with a smaller round of cuts in February 2023. In a recent interview, Sarandos admitted that the company is not growing as rapidly as he would like and is actively working to expedite this growth.

Netflix's stock has experienced a 25% decline in 2026, with investors concerned that the company is not expanding quickly enough. According to Nielsen's latest Gauge report, Netflix accounted for 7.8% of TV viewership in July, compared to YouTube's 14.2%. Post-2026, Netflix ceased publishing subscriber numbers and instead shifted its focus to engagement metrics. The company has also reduced the frequency of data releases, with reports now issued only once annually.

To address its growth challenges, Netflix has expanded into various content areas, including podcasts, live events, sports, vertical video, and gaming. Additionally, the platform has sought to attract talent from YouTube and expanded its international content offerings through a partnership with French broadcaster TF1. The company is also venturing into the theatrical space, with films such as David Fincher's "The Further Mis-Adventures of Cliff Booth" and Greta Gerwig's "Narnia: The Magician's Nephew" being released in theaters before their streaming debut.