Spotify to Cut Back on Hiring by 25%

The audio streamer’s CEO disclosed this to staff on Wednesday.

Slower Hiring Pace

Spotify says it will curb its hiring by 25%, making it the latest tech firm to cut down on staff costs. Chief executive Daniel Ek made this known to employees in a company-wide memo sent on Wednesday.

The memo reiterates the comments made by Spotify’s CFO Paul Vogel at its investor day event last week. Vogel made it clear that the company was looking at evaluating its headcount “in the near term” due to the economic situation. However, he pointed out that the uncertain condition had, so far, not had any impact on Spotify’s business.

In the email memo, Ek informed staff that the world’s largest audio streaming service would continue to hire employees. However, it plans to reduce the pace by a quarter in a bid to be “a bit more prudent with the absolute level of new hires over the next few quarters”.

Spotify currency employs about 8,230 people globally.

With this move, the streamer joins a growing number of tech firms that have either slowed hiring or laid off staff amid a bleak economic outlook. 

On Tuesday, Coinbase announced that it would cut 1,100 jobs, about 18% of its workforce. Previously, Crypto.com and BlockFi also revealed that they would let hundreds of staff go.