Netflix Collapsing: Huge Layoffs After Fans Reject Price Hike

The remarkable success of Netflix is beginning to plateau; they're seeing declining subscription numbers for the first time, and their North American workforce has just seen its first wave of layoffs. Details here.

Netflix collapsing
We could see Netflix revert their recent decision to increase the cost of subscription. | © Netflix

After losing 200,000 subscribers already in 2022, it's no wonder that Netflix is looking to cut back costs. Unfortunately, that means letting go of a sizeable chunk of their workforce in this instance.

As upsetting as this is for those employees, we can't say we're surprised that Netflix is suffering after they announced plans to increase the cost of monthly subscriptions. That went down poorly indeed... Anyway, here's what we know about the layoffs at Netflix.

Netflix Lays Off 150 Employees

As The Hollywood Reporter first detailed, an internal memo was sent out on Tuesday, May 17 announcing plans to make 150 Netflix employees redundant. The memo claimed that "these changes [were] primarily driven by business needs rather than individual performance" and went on to explain that they were "pulling back on spend growth". According to the report:

The layoffs represent 2 percent of the streamer’s total workforce, with most of the cuts happening in the United States. Netflix is also making changes to its animation division, resulting in the elimination of 70 roles in that unit, as well as reducing contractor roles in its social media and publishing channels.

If you're a fan of Netflix's animated content then this will come as a particularly strong blow. Perhaps they've reasoned that such work is too expensive to produce? It's certainly going to cost them a lot more than reality TV.

We'll keep you updated as soon as we hear more on this developing story. Until then, why not play the fiddle while Rome burns?

Jon Ramuz

Jon has a BA and an MA in English Literature, and as Content Lead for EarlyGame has written over 1,500 articles. He focuses on shooters, but also writes about entertainment and gaming in general....