SAN FRANCISCO (KCBS RADIO) – Grappling with a recent subscriber dip, Bay Area based tech giant Netflix has laid off more than a hundred of their employees.
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The staff reduction comes weeks after Netflix reported a substantial subscriber loss — the first the streaming service has seen in a decade — and a 68% drop in stock, Variety reported.
In an announcement Wednesday, Netflix revealed that 150 full-time employees and more than 70 part-time and freelance employees will be laid off, shocking many who work for the company.
"As we explained [in reporting Q1] earnings, our slowing revenue growth means we are also having to slow our cost growth as a company," a Netflix representative told the magazine. "So sadly, we are letting around 150 employees go today, mostly U.S.-based."
She continued to say that many of the layoffs were driven by business needs rather than individual performance, the magazine reported.
Following the announcement, multiple Netflix employees took to Twitter to call out the streaming service, alleging that Netflix predominantly let go people from its diversity departments. "A lot of the 'diversity' that worked at Netflix were let go today it seems like as I scroll on social. A former Netflix writer who was part of the layoffs said, 'Diversity and the editorial staff are the first on the chopping block when it's time to make a sweep,'" one Twitter user wrote.
Another user claimed Netflix cut all of its diversity departments including Strong Black Lead, Asian American-focused Golden, Latinx-focused Con Todo and LGBTQ-focused.
Writer and podcast host Evan Ross Katz shared his experience of getting let go in an Instagram post. "As good feelings go, this is not one," he wrote. "Especially finding out in the press release ahead of your dismissal."
Netflix has not yet responded to the allegations.
Correction: An earlier version of this story reported that Netflix "fired" the impacted employees.
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