Spotify to Layoff 17 Pct. of Employees

Saturday, 27 July 2024

Spotify to Layoff 17 Pct. of Employees

Author: Andree Nizar
December 11, 2023

Spotify to Layoff 17 Pct. of Employees. Photo : Pinterest

SEAToday.com, Jakarta - Spotify will lay off 17 percent of its global workforce, or around 1,500 workers, to reduce costs and adjust the slow growth, said its CEO Daniel Ek on Monday (12/4).

“Considering the gap between our financial goal state and our current operational costs, I decided that a substantial action to rightsize our costs was the best option to accomplish our objectives,” Ek wrote in a letter to staff posted to the company’s website. The decision came despite Spotify reporting a 65 million euro profit for Q3 and its steady subscriber growth totaling 226 million.

The changes were aimed at making the company more efficient after a massive hiring and spending spree in 2020–2021. This is the company’s third round of job cuts this year after previously doing so back in January and June.