Tech companies are doing something they haven’t had to do before; laying off a significant part of their workforce. And that includes Spotify, which announced they would lay off 6% of their workforce, but they’ve been reading the headlines of how the job cuts have gone at places like salesforce.com, and they said their approach would be to tell everyone in a face-to-face conversation instead of an email. The drastic move was made to cut costs during these very challenging economic times.
It is ironic that companies with CEOs who have been all-in on the woke culture and allowing employees to work from home as long as they want to seem to be having to fire many of those employees.
Here’s a quote from their CEO Daniel Elk.
“Like many other leaders, I hoped to sustain the strong tailwinds from the pandemic and believed that our broad global business and lower risk to the impact of a slowdown in ads would insulate us. “In hindsight, I was too ambitious in investing ahead of our revenue growth.”
It’s always great when you lose your job to hear the leader throw out corporate-speak mumble jumble like “strong tailwinds” in a quote. Maybe you took your eye off the ball a little bit by allowing your employees to have massive protests over Joe Rogan podcast episodes or the play catalog of a singer that doesn’t mesh with their progressive ideology.
Costs will wipe out the revenue growth Spotify was hoping for in 2023, so drastic measures had to be taken.
Here’s another quote from Elk.
“In a challenging economic environment, efficiency takes on greater importance.”
Yes, that would appear to be the case, sir.