Netflix Cuts About 1,000 Jobs, Its Largest Layoff Since 2022, as Shares Slump and Competition Mounts

Netflix is eliminating about 1,000 jobs, roughly 6% of its global workforce, in its largest round of layoffs since 2022, as the streaming leader confronts a sliding share price and intensifying competition for viewers’ time from YouTube, TikTok and other social platforms.

The company confirmed the cuts on Wednesday after The Wall Street Journal reported on an internal memo to employees. Most of the reductions will fall on product, technology, legal and human resources teams.

“Disciplined about where we prioritize”

“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,” co-CEOs Ted Sarandos and Greg Peters wrote, according to the Journal. Netflix said it would “continue to invest aggressively in high impact areas” and that it remains on track to meet its full-year forecast.

Netflix reported about 16,000 full-time employees at the end of last year, nearly 70% of them in the U.S. and Canada, according to its annual filing. The last comparable cuts came in 2022, when the company shed hundreds of workers around the time it disclosed its first quarterly subscriber loss in a decade.

Investors look to next week’s earnings

The stock edged slightly higher by Wednesday’s close but remains down about 25% this year and more than 40% over the past 12 months, as analysts have grown more cautious about engagement trends and slowing revenue growth. Investors will look for more detail when Netflix reports third-quarter results after the market closes next Tuesday.

The restructuring follows Netflix’s loss of a drawn-out bidding contest for Warner Bros. Discovery’s studio and streaming businesses to Paramount Skydance earlier this year. It also comes as the company works to wring more revenue from its subscriber base through price increases, a growing ad-supported tier, live events and sports, games, video podcasts and a redesigned mobile app built to compete with short-form video.

Netflix generated $45.2 billion in revenue in 2025, with advertising contributing more than $1.5 billion. YouTube, by several market research estimates, overtook Netflix in average daily viewing last year—a shift that has sharpened pressure on the company to prove its growth story.