Spotify will axe almost a fifth of its workforce after warning that economic growth had slowed dramatically and it needed to cut costs as the music streaming giant seeks to turn subscriber growth into consistent profitability.

In a memo to staff on Monday, chief executive Daniel Ek said Spotify would cut about 17 percent of its global workforce, about 1,500 people. Spotify employs more than 9,000 people worldwide.

“I recognize this will impact a number of individuals who have made valuable contributions,” Ek said. “To be blunt, many smart, talented, and hard-working people will be departing us.”