Sources: Netflix staff morale is sagging amid its cratering stock price, subscriber losses, and an engineering restructuring to create levels, such as “junior”
As Netflix shares plunge to their lowest point in five years, the company risks losing its most valuable resource: its star employees.
Netflix has always been a fairly flat organization but now it is restructuring teams in its engineering department to create levels - junior, senior and so on. Many employees view this as an effort to cut costs. https://www.bloomberg.com/...
Netflix employee morale's taken a hit because the stock crashed and the company isn't going to give more RSU compensation. Given stock based compensation is a corporate expense, I don't expect many companies to grow costs given how the markets are moving. https://www.bloomberg.co…
I've covered netflix for 11 years. I've never heard its employees as unhappy/uncertain as they are right now. That + some scooplets in this week's newsletter: https://www.bloomberg.com/...
Scoop: levels are introduced at Netflix for engineers and there is no shortage in drama over decisions of who got to be Senior and who Staff. This happens every time a company introduces levelling. Except for most at Netflix: it's the first time ever they experience it.
“Netflix still offers people the chance to make a lot of money... It is not collapsing. It is about as large as Disney+ and HBO Max combined. But Netflix felt invincible, a high-flying disruptor that grew and grew and grew.” Now it's just another company https://www.bloomberg.com…
“A record decline in Netflix's share price...has shaken employees' confidence in the company's long-term trajectory. It has also erased the value of many employees' options. People who were sitting on 10s or 100s of thousands of dollars are left w/ nothing” https://www.bloomberg.…
Netflix is restructuring some engineering teams. Employees see it as a cost-cutting move. The company says it's adjusting to its larger size. https://www.bloomberg.com/...