Spotify Announces Massive Layoff
Spotify Announces , Massive Layoff.<br />'Gizmodo' reports that Spotify has <br />announced sweeping staff cuts aimed <br />at cutting global headcount by around 17%.<br />The 17% staff reduction is estimated <br />to impact almost 1,600 Spotify staff <br />members from across the world.<br />CEO Daniel Ek blamed the layoffs on faltering <br />economic growth, specifically how , “capital has become more expensive.” .<br />According to Ek, early in the pandemic, <br />the company hired an increased number of staff<br />in order to take advantage of "lower-cost capital.".<br />According to Ek, early in the pandemic, <br />the company hired an increased number of staff<br />in order to take advantage of "lower-cost capital.".<br />In Spotify's most recent quarterly earnings report, <br />the company saw big increases in total user numbers <br />and an 11% increase in total revenue compared to 2022. .<br />Spotify staffers impacted by the layoffs will reportedly <br />receive an average of five months severance pay, <br />along with healthcare coverage over the same period.<br />Earlier this year, Spotify already went through two <br />rounds of layoffs, including a 6% staff reduction in <br />January and another wave of 200 staffers in June.<br />Meanwhile, the cost of Spotify's ad-free subscription <br />plans has increased over the last few months.<br />'Gizmodo' reports that the news <br />comes amid a wave of companies firing <br />big chunks of their staff in 2022 and 2023.<br />Over the past few months alone, Amazon and <br />LinkedIn were among companies to have announced <br />sizable layoffs that have impacted hundreds of staff. .<br />Over the past few months alone, Amazon and <br />LinkedIn were among companies to have announced <br />sizable layoffs that have impacted hundreds of staff.
