Spotify is laying off 17 percent of its workforce

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Spotify is letting go of some employees for the third time in 2023. On Monday, Spotify declared that 1,500 employees, or roughly 17 percent of the total, would be let go.

CEO Daniel Ek attributed the cut to the “challenges ahead.” A decision the company has elected to take rather than doing a smaller downsizing over time.

I realize that for many, a reduction of this size will feel surprisingly large given the recent positive earnings report and our performance,” Ek wrote. “We debated making smaller reductions throughout 2024 and 2025. Yet, considering the gap between our financial goal state and our current operational costs, I decided that a substantial action to right-size our costs was the best option to accomplish our objectives. While I am convinced this is the right action for our company, I also understand it will be incredibly painful for our team.”

Ek stated that Spotify will provide healthcare coverage during the layoff period, pay an average of five months’ severance, and offer immigration and career support in order to lessen the impact of the layoff.

In June, Spotify laid off 200 of its employees, specifically its podcast unit. Affected members of staff were handed an invitation for a chat with the HR department. The music streaming company then merged Parcast and Gimlet Studios.

In an internal memo, Sahar Elhabashi, Spotify’s head of the podcast division, said that the company was making changes that would reduce the workforce by 2 percent.

Spotify released a new desktop experience for Mac and PC back in June. Three columns make up the new experience, which also features redesigned “Your Library” and “Now Playing” views.

“Explore, curate, listen to, and organize Spotify on a computer or web browser” is now more seamless thanks to the redesign, which is more in line with the Spotify app for iOS and Android.

Spotify stated in a blog post that the middle section of the desktop UI is still “your central hub to browse, discover, and find recommended songs and podcasts.

Users can now find the new Your Library on the left-hand side of the app window, which makes it easy for them to retrieve their podcast and music collections that they have saved. According to Spotify, this update makes it easier for users to switch between playlists, save time, and get a better overview.

The Now Playing view is now located on the right side of the app and shows you the song or podcast you are currently listening to. Users can even discover more information about the song and artist here, including information on tour dates and merchs. This makes it easier to connect with their favorite artists and discover more about them.


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Author: Ola Ric

Ola Ric is a professional tech writer. He has written and provided tons of published articles for professionals and private individuals. He is also a social commentator and analyst, with relevant experience in the use of social media services.

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