Netflix is reportedly set to cut about 1,000 jobs worldwide, representing roughly 6% of its workforce, in what would be its largest round of layoffs since 2022 [1]. The layoffs, first reported by The Wall Street Journal and cited by FOX Business, are expected to primarily impact the company's product, technology, legal, and human resources departments, according to an internal email sent to employees by co-CEOs Ted Sarandos and Greg Peters [1].
These workforce reductions come as Netflix faces increasing competition for viewers and seeks to diversify its revenue streams by expanding into advertising, live programming, and gaming [1]. Despite the layoffs, Sarandos and Peters assured employees that Netflix remains on track to meet its full-year financial forecast and will continue investing in key priorities, though with a more selective approach to resource allocation [1].
As of December 31, 2025, Netflix reported approximately 16,000 full-time employees, including about 10,900 in the United States and Canada, according to its annual SEC filing [1]. The company last made significant workforce reductions in 2022 after experiencing its first quarterly subscriber decline in over a decade [1].
The reported layoffs follow earlier media indications of potential staff cuts, with Puck News previously suggesting a 5% reduction and Reuters noting that Netflix declined to comment on those reports [1]. Additionally, the job cuts come after Netflix's unsuccessful bid for Warner Bros. Discovery's streaming and studio assets, which were ultimately acquired by Paramount Skydance for approximately $110 billion earlier this month [1].
Netflix did not immediately respond to FOX Business' request for comment regarding the reported layoffs [1].
CONCLUSION
Netflix's decision to cut about 1,000 jobs marks a significant strategic move as the company adapts to a changing competitive landscape and seeks to diversify its business. While the layoffs are substantial, Netflix leadership maintains confidence in meeting its financial targets for the year. The market will be watching closely for further details in the upcoming third-quarter financial results.