Spotify to trim 6% of workforce, content head to depart

Music streaming steadfast Spotify Technology said connected Monday it plans to chopped 6% of its workforce, oregon astir 600 jobs, adding to a glut of layoffs successful the exertion assemblage arsenic companies hole for a imaginable recession.

The institution besides said its main contented and advertizing concern officer, Dawn Ostroff, volition depart arsenic portion of a broader reorganization.

Spotify, which had astir 9,800 full-time employees arsenic of Sept. 30, said it expects to incur astir 35 cardinal euros ($38.06 million) to 45 cardinal euros successful severance-related charges.

Shares successful the institution roseate 3.5% successful premarket trading.

Spotify's determination comes astatine a clip erstwhile tech companies are facing a request downturn aft 2 years of pandemic-driven maturation during which they had hired aggressively. That has led the likes of Meta Platforms Inc to Microsoft Corp to shed thousands of jobs.

Sweden-based Spotify has seen advertisers propulsion backmost connected spending, mirroring a inclination seen astatine Meta and Google genitor Alphabet Inc, arsenic accelerated involvement complaint hikes and the fallout from the Russia-Ukraine warfare unit the economy.

The institution had said successful October that it would dilatory down hiring for the remainder of the twelvemonth and into 2023. Its shares much than halved successful a dismal 2022 for tech stocks.

($1 = 0.9196 euros)

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