Daily Management Review

Spotify to cut hiring plans


Bloomberg reports that Spotify Technology, the world's largest on-demand music and podcast provider, will slash employment ambitions, according to a statement from firm CEO Daniel Ek to workers. He said that the hiring pace would drop by 25%, but that the firm will continue to hire in the following months.

The firm employed about 2,000 people between 2019 and 2021. Their overall number was 6,617 at the conclusion of last year. Macroeconomic variables dictate changes to future recruiting plans, Ek noted in a letter to workers.

In the past, IT businesses have suspended or decreased hiring in response to growing inflation and economic worries. Coinbase, a cryptocurrency exchange, said that it will lay off 18 percent of its workforce, or over 1,000 individuals. Recruiting of Uber and Lyft has stalled as well.

In a presentation to investors a week ago, Spotify hinted at probable employment cuts. CFO Paul Vogel predicted "any major impact on our business" at the time. He noted during the presentation that the corporation is actively watching the situation and evaluating near-term workforce expansion.

source: bloomberg.com