![[Global] Spotify lays off 2% of its workforce](http://globalpayrollassociation.com/cdn/shop/articles/bigstock-Cagliari-Sardinia-Italy----439556018_1200x.jpg?v=1685986449)
On June 5, Spotify announced the lay-off of around 200 employees - or about 2 per cent of its workforce - as part of a move to change the way the company handles its partnership with “leading podcasters from across the globe”, CNBC reports.
Spotify’s global workforce was 8,359 people in 2020, according to an SEC filing. 4,332 of those employees were in the US.
The cuts were announced by Spotify vice president Sahar Elhabashi in a memo to employees. Those impacted by the cuts will be provided with “generous severance packages,” the memo said.
Ms Elhabashi said that the “fundamental pivot from a more uniform proposition will allow us to support the creator community better.”
Spotify has reportedly invested heavily in expanding its podcast unit over the last three years. Since 2020, Spotify spent 493 million euros (around $526 million) on four different acquisitions in the podcast space, according to an SEC filing.
In addition, Spotify entered into high-profile sponsorship deals with prominent names like Meghan, the Duchess of Sussex and controversial online personality Joe Rogan.
Spotify did not immediately respond to CNBC’s request for comment.
Source: CNBC
(Links and quotes via original reporting)
On June 5, Spotify announced the lay-off of around 200 employees - or about 2 per cent of its workforce - as part of a move to change the way the company handles its partnership with “leading podcasters from across the globe”, CNBC reports.
Spotify’s global workforce was 8,359 people in 2020, according to an SEC filing. 4,332 of those employees were in the US.
The cuts were announced by Spotify vice president Sahar Elhabashi in a memo to employees. Those impacted by the cuts will be provided with “generous severance packages,” the memo said.
Ms Elhabashi said that the “fundamental pivot from a more uniform proposition will allow us to support the creator community better.”
Spotify has reportedly invested heavily in expanding its podcast unit over the last three years. Since 2020, Spotify spent 493 million euros (around $526 million) on four different acquisitions in the podcast space, according to an SEC filing.
In addition, Spotify entered into high-profile sponsorship deals with prominent names like Meghan, the Duchess of Sussex and controversial online personality Joe Rogan.
Spotify did not immediately respond to CNBC’s request for comment.
Source: CNBC
(Links and quotes via original reporting)