Spotify will lay off 17% of its employees

The technology industry continues to face difficult times. Spotify is preparing to lay off 17% of its workforce. This will happen before the end of the year More than 1,500 employees will be affected.

In January of this year, the company reduced its workforce by around 6% company-wide. The platform then applied for a further 200 managers of its podcast department in a second round during the month of June.

Spotify CEO on layoffs

The announcement of this third round of layoffs this year was made by Spotify’s CEO and founder: Daniel EckWHO He emphasized that his goal now is to make the company more efficient and profitable. The CEO pointed to the economic difficulties and emphasized the need for cost adjustments to close the gap between the company’s financial target and current operating costs.

“We have talked about making smaller reductions in 2024 and 2025. However, given the gap between our target financial state and our current operating costs, I have decided that taking substantial action to correct our costs is the best option to achieve our goals.” »he explained Ek.

Spotify’s CEO looked back and recalled that in 2020 and 2021, the platform took advantage of the opportunity for low-cost capital and expanded its workforce. This movement facilitated their growth, however The global economic reality now looks different. For this reason the company a strategic realignment.

They remain committed to investing and making bold bets, but with a more focused approach to ensure Spotify’s continued profitability and ability to innovate.

Read Also:  Automating Reporting And Analytics Processes

Recent Articles

Related News

Leave A Reply

Please enter your comment!
Please enter your name here