Photo: Netflix
Netflix is set to lay off about 1,000 employees, representing approximately six percent of its workforce, in what will be the company’s largest round of layoffs since 2022. According to an internal announcement from co-chief executives Greg Peters and Ted Sarandos, most of the layoffs will impact the company’s product, technology, legal, and human resources teams. The news was reported by both Moneycontrol and The Desk.
In their email, Peters and Sarandos stated, "Our mission, to entertain the world, is ambitious, and delivering on it requires us to be disciplined about where we prioritize our people and resources," as reported by the Wall Street Journal and cited in The Desk. The executives also told employees that Netflix would continue to invest in areas considered high-impact, while remaining on track to meet its full-year earnings forecast.
The layoffs come as Netflix faces slower growth and concerns about viewer engagement. The company has been working to expand its programming, including live television channels, sports, video podcasts, and shows by YouTube creators, in hopes of attracting more viewers. Despite these efforts, Netflix's shares have dropped by over 40 percent in the past year, and its revenue guidance for the third quarter fell below analysts’ expectations, according to People Matters.
Netflix stopped regularly sharing subscriber counts and average revenue per user (ARPU) in 2025, a move that drew criticism from some Wall Street analysts about transparency, as reported by The Desk. The company reported strong subscriber retention in the United States, with a cancellation rate slightly above two percent, the lowest among major streaming services.
This round of layoffs follows previous cuts in 2022, when Netflix eliminated about 450 jobs after reporting its first quarterly subscriber loss in over a decade. The latest reductions coincide with similar workforce cuts at other technology and entertainment companies, including Disney and Amazon.
Netflix is scheduled to report its third-quarter 2026 earnings on Tuesday (October 20). The company has not confirmed which specific roles or locations will be affected by the layoffs. Further details are expected to be shared in the upcoming earnings report.