SiriusXM cuts 8% of its workforce as part of a broader reorganization

Sirius XM is the latest media institution to denote a circular of layoffs

The car vigor subscription company, known for its commercial-free euphony and speech vigor channels, said Monday it is cutting 8% of its workforce, oregon 475 jobs.

"We are entering into a caller signifier for our Company," CEO Jennifer Witz said successful an email to employees connected Monday. "The investments we are making successful the concern this year, coupled with today's uncertain economical environment, necessitate america to deliberation otherwise astir however our enactment is structured."

Shares of SiriusXM deed a caller 52-week debased Monday.

In November, the CEO had told the institution that arsenic portion of their 2023 plans determination would beryllium a reappraisal of the company. Witz said successful the memo Monday that the institution has besides reduced contented and selling spending, decreased its existent property footprint and besides enactment tighter restrictions connected question and amusement expenses.

"However, today's determination to trim our workforce was required successful bid for america to support a sustainably profitable company," Witz said.

Layoffs person been occurring crossed the media and exertion manufacture successful caller months arsenic companies look macroeconomic challenges and brace for a imaginable recession.

SiriusXM, which is backed by John Malone's Liberty Media, has been peculiarly affected by little automotive sales, arsenic outer vigor subscriptions often travel with caller cars. The institution said it had 32.4 cardinal self-paying subscribers astatine the extremity of 2022, but ended the 4th fourth astatine 6.8 cardinal proceedings subscribers, down astir 224,000 from the anterior quarter.

However, the monthly complaint of customers cutting their subscriptions stood astatine 1.5% during the quarter, remaining "at grounds debased levels."

Read the afloat memo here:

From: Jennifer Witz
Date: Monday, March 6, 2023 astatine 7:58 AM
Subject: Important Company Update

Good Morning,

I person immoderate hard quality to share. After a reappraisal of our business, we person made the determination to trim the size of our workforce by 475 roles, oregon 8%. Unfortunately, this volition mean saying goodbye to talented colleagues crossed the organization.

Over the people of the time today, impacted employees volition statesman receiving invitations to articulation meetings with their respective person and a subordinate of our People + Culture team. 

I privation to admit that this is going to beryllium a challenging day, particularly for those departing from the Company, and I'd similar to widen my deepest gratitude to everyone for their contributions to SiriusXM. Regardless of the team, level, oregon tenure, you played a relation successful bringing our Company to wherever it is contiguous and for that we are grateful. This was not an casual determination to make, nor 1 we took lightly. However, it is captious for america to instrumentality the close steps present to unafraid the semipermanent wellness and profitability of our business.

How did we get here?
We are entering into a caller signifier for our Company. The investments we are making successful the concern this year, coupled with today's uncertain economical environment, necessitate america to deliberation otherwise astir however our enactment is structured. As I shared successful November, our readying process for 2023 included an enterprise-wide reappraisal of our concern to place opportunities for greater agility and efficiency. As portion of this effort, we identified areas successful which we could bounds discretionary spending to minimize the interaction of immoderate further needs for unit reductions. We streamlined our non-headcount costs by reducing contented and selling spend, decreasing our existent property footprint, and astir recently, implementing tighter restrictions successful our Travel and Entertainment policy. However, today's determination to trim our workforce was required successful bid for america to support a sustainably profitable company.

Who is impacted? 
Over the past 5 years, our concern has grown and expanded with the summation of caller acquisitions, concern lines, and gross streams. Now, we person completed an appraisal of our departments and functions to find wherever we tin amended collaboration, consolidate teams to execute greater efficiencies, and ultimately, plan an enactment operation that is champion positioned to execute our priorities. As a result, astir each section crossed SiriusXM volition beryllium impacted. We judge the caller operational plan volition let america to determination faster and much efficaciously arsenic we instrumentality connected caller challenges crossed our business.

What's next?
For those leaving us, you volition beryllium contacted straight regarding your departure, and you volition person the accidental to talk with a person from your section arsenic good arsenic a subordinate of our People + Culture team. We recognize that this modulation won't beryllium easy, but delight cognize that we're committed to supporting you during this process, and we're providing exit packages that see severance, transitional wellness security benefits, Employee Advocacy Program continuation, and outplacement services.
 
Today is 1 of the astir hard days we've had to look arsenic a team, and these changes interaction each of america deeply. However, it is my content that these pugnacious decisions were indispensable arsenic we look to seizure the accidental successful beforehand of us. 

Together, we are committed to delivering the champion premium audio acquisition successful North America. We are evolving our work to springiness the adjacent procreation of listeners caller ways to observe and prosecute with our unthinkable programming and talent. With our imaginativeness arsenic wide arsenic ever, and our operating translation present underway, we volition proceed to marque investments arsenic we cogwheel up for our adjacent large milestone: the motorboat of a new, best-in-class SiriusXM experience.

Again, to those impacted by these changes, I convey you for each that you've done to bring SiriusXM to wherever it is today, and I privation you each the champion successful your aboriginal endeavors. 

We'll sermon these changes and our way guardant during our adjacent Company-wide All Hands meeting. In the meantime, I'll beryllium successful interaction aboriginal contiguous to stock an update and you'll besides perceive much details from your respective Executive Leaders passim the remainder of this week.

In closing, convey you for your focus, dedication, and resilience. This is not an casual infinitesimal for immoderate of us, truthful it's much important than ever that we enactment each other, and that you thin connected our leaders, including me, arsenic we enactment done adjacent steps.

- Jennifer