In an email to employees on Wednesday, Spotify is delaying hiring by 25%, CEO Daniel Eck said.

It's the latest signal that technology companies, many of which have grown significantly in the early stages of the pandemic, are cutting back on team member growth as economic uncertainty increases. While job growth has remained strong across the economy, there have been several delays in high-profile hiring or layoffs in the tech sector in recent months, including releases at Coinbase and a reduction in hiring at Facebook Meta owners.

The economic outlook remains unclear, prompting some companies to slow down and take stock of their current workforce. Earlier this week, the S&P 500 fell into a bear market as stocks lost at least 20% from recent highs, and the Federal Reserve announced a significant interest rate hike on Wednesday to ease rising inflation.

Spotify spokesman Adam Grosberg echoed CFO Paul Vogel's comments during the company's investor day, saying, "We are acutely aware of the growing uncertainty surrounding the global economy. And while we are yet to see a significant impact on our business, we are monitoring the situation closely and assessing the growth of our workforce in the short term.

In a team member email, Eck said Spotify would "reduce rental growth by 25%." But he said the company "will continue to recruit and grow; we're just going to be slower and a bit smarter with deep absolute hiring rates." the next few quarters."

Grossberg declined to specify what would result in a 25% reduction in rent growth.