Spotify is set to cut ties with 200 of its workforce; specifically its podcast unit. Affected members of staff, according to TechCrunch, have been handed an invitation for a chat with the HR department. The music streaming company will then merge its 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.
“We are expanding our partnership efforts with leading podcasters from across the globe with a tailored approach optimized for each show and creator. This fundamental pivot from a more uniform proposition will allow us to support the creator community better,” Elhabashi wrote.
“However, doing so requires adapting; over the past few months, our senior leadership team has worked closely with HR to determine the optimal organization for this next chapter. As a result, we have made the difficult but necessary decision to make a strategic realignment of our group and reduce our global podcast vertical and other functions by approximately 200 people, or 2% of Spotify’s workforce,” she added.
Spotify however, has promised that employees who are affected by the layoffs will get “generous severance packages, including extended Healthcare coverage and immediate access to outplacement support.”
Companies like Facebook, Twitter and the likes have all gone similar routes since the start of the year, and this is likely to continue in the tech world as companies try to stabilize.
In 2022, Spotify rolled out a fresh new Home look that includes separate feeds for “Music” and Podcasts & Shows.” When next you launch the app, you will notice two feeds at the top of your home screen.
Spotify said back then that the new Music and Podcasts & Shows feeds allow users to easily scroll through the type of content they would love to see at the moment.
The Music feed gives you quick access to suggestions based on your music taste. The feed will also include album and playlist recommendations, along with buttons, which will make it easy to share, like, and play music. The Podcast & Shows feed, will give you access to new episodes of your favorite shows and personalized podcast recommendations. You will also be able to read episode descriptions, save Your Episodes and start playing podcasts.