EMCC European Monitoring Centre on Change



Geographic Location

Country: World
Location of affected unit(s): Sweden and USA


Sector: Information / communication
Publishing, audiovisual and broadcasting activities
60 - Programming and broadcasting activities
Number Employed: 9800

Employment Effects

Announcement Date: 23-01-2023
Planned Job Reductions min: 600
Type of Restructuring: Internal restructuring
Employment Effect Start: 23-01-2023
Direct Dismissals: 600

Additional Information

Spotify, the Swedish music streaming company, has announced plans to lay off 600 employees from its global workforce. The company employs approximately 5400 people in USA and 1900 in Sweden. What units and where the job cuts will be made has not been announced, however, the CEO has stated that internal communication has begun. The cuts are part of a strategy to avoid further drops in Spotify's share market value as growth goals are not being met coming out of the Pandemic. In particular, as revenue has dropped significantly for the company. Spotify has announced the redundancies will amount to €35 to €45 million of severance-related charges and that employees will receive an average of five months of severance and continued health-care coverage, as well as immigration support for workers whose immigration status is connected with their employment.