Spotify’s podcast division is laying off 200 people. Spotify announced on Monday that it would be laying off approximately 200 employees, representing about 2% of its total employment. This move is part of an effort to change how the streaming firm cooperates with “leading podcasters from across the globe.”
According to a filing with the SEC, Spotify had a total staff of 8,359 workers worldwide in 2020, with 4,332 employees working in the United States.
In a statement to staff, Sahar Elhabashi, vice president of Spotify, revealed the company’s decision to slash jobs. Those affected will receive “generous severance packages,” according to Elhabashi.
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Elhabashi stated that “fundamental pivoting away from a more uniform proposition will allow us to support the creator community better.”
Over the past three years, Spotify has poured significant money into expanding its podcast arm. According to a filing with the SEC, Spotify has spent 493 million euros, or about $526 million, on four separate purchases in the podcast industry since 2020.
Additionally, Spotify has gotten into high-profile sponsorship arrangements with notable figures such as Meghan, the Duchess of Sussex, and Joe Rogan, an internet personality.
