Netflix told staff on Wednesday that it is cutting roughly 6 percent of its workforce, about 1,000 jobs, in the streaming company's largest round of layoffs since 2022.
The cuts were set out in an internal memo from co-CEOs Ted Sarandos and Greg Peters, with the deepest impact on the product, technology, legal and human resources teams, according to Variety and The Hollywood Reporter, which both obtained the document. The company counted some 16,000 full-time staff at the end of last year.
"Our business is strong and growing," the two executives wrote. They added that Netflix remains on track to deliver its full-year forecast and will "continue to invest aggressively in high-impact areas."
The memo said the process would vary by country and that leaders would contact affected employees soon. A Netflix spokesperson declined to comment beyond the memo, Variety reported.
Netflix's previous large reduction came in 2022, when it eliminated about 450 positions after subscriber numbers fell by 200,000 between January and March of that year, the company's first quarterly loss of customers in more than a decade. Smaller reductions followed, among them cuts to the global product division in the first half of this year.
Netflix reported $45.2 billion in revenue for 2025, up 16 percent, and net income of $11 billion, up 26 percent. It projects 2026 revenue of $51.0 billion to $51.4 billion, growth of 13 to 14 percent, and an operating margin of 31.5 percent. The service has more than 325 million customers worldwide.
In the second quarter of 2026, revenue rose 13.4 percent from a year earlier to $12.6 billion, with an operating margin of 33.4 percent, down from 34.1 percent a year before.
At the Bloomberg Screentime summit on Sept. 30, Sarandos said Netflix was "not growing as fast as I want us to," and that the company was working to move faster, The Hollywood Reporter reported.
Variety reported that Netflix shares were down less than 1 percent at $70.26 in late morning trading in New York.
Netflix is due to report third-quarter results on Tuesday, Oct. 20, after markets close.