On October 14, 2026, Netflix announced it would reduce its workforce by approximately 6%, affecting nearly 1,000 employees primarily in product, technology, legal, and human resources departments. Co-CEOs Ted Sarandos and Greg Peters emphasized the need for discipline in resource allocation to support the company's ambitious mission to entertain globally.
Despite the layoffs, they assured that Netflix's business remains strong and is on track to meet its full-year financial forecasts. The company plans to continue investing in key areas to enhance service and drive growth. This move comes ahead of Netflix's quarterly earnings report, where investors will be keen to assess the implications of these layoffs on the company's future performance.
Sarandos previously acknowledged at a conference that the company's growth rate was not meeting his expectations, indicating a need for strategic adjustments to maintain competitiveness in the streaming market