Streaming platform Netflix has implemented significant organizational changes, including the layoff of 150 full-time employees across its United States operations. This decision is a direct consequence of a substantial drop in the company's revenue and subscriber base. The reductions also affected 70 part-time positions within animation, social media, and publishing divisions, alongside at least 26 contractors associated with Tudum, Netflix’s fan-focused website. These recent layoffs follow earlier cuts in the marketing section of the Tudum subdivision and other departments, indicating a broader strategic shift within the company.

Netflix management has clarified that these employee terminations are unrelated to individual performance, assuring that laid-off employees will receive compensation. The company's financial performance has been on a downward trend, marked by its first subscriber loss in a decade during the first quarter of 2022, with a net loss of 200,000 streaming clients. This was compounded by a projection of a further 2 million subscriber drop in the second quarter, leading to a massive $54 billion reduction in the company's market worth on April 20.

Several factors are believed to be contributing to Netflix's revenue decline. The company's decision to shut down all services in Russia in March 2022, following the Russian invasion of Ukraine, is one such variable. Analysts also highlight a perceived lack of