As it implements more efficient processes to cope with massive subscriber growth, Netflix is reducing its part-time workforce in two California distribution centers. The company’s Los Gatos center—its largest—will be cutting 125 workers, and its Fremont center will eliminate 160 jobs.
Netflix spokesperson Steve Swasey confirmed the layoffs to Home Media Magazine, calling the installation of the company’s new, customized processing machines “a reflection of ongoing growth.” The automatic processing machines reduce or eliminate the need for manual handing of the hundreds of thousands of DVDs that pass through the centers each day.
As demonstrated by Redbox earlier this year, even employees at successful, growing companies are not immune to having their positions eliminated in the name of efficiency and cost-savings. Between the Redbox and Netflix layoffs and the closures of thousands of Hollywood Video, Movie Gallery and Blockbuster Video locations, 2010 has not been a kind year to workers in the home video business. How many more pink slips will be delivered before year’s end?
(via Home Media Magazine)