Netflix founder Reed Hastings on how to fire someone Netflix uses the “keeper test” to build strong teams. If a manager wouldn’t fight to keep an employee who is leaving, the company gives them a generous severance package and finds someone better for the role. Reed Hastings, Netflix’s co-founder, compares this to sports teams. In sports, if a player is removed, it’s not personal—it’s about performance and what’s best for the team. Netflix follows the same idea. Letting someone go isn’t about saying they’re bad or not good enough. It’s about being honest and focusing on the team’s success. Netflix treats employees fairly and respectfully, helping them move on while creating the strongest team possible. This approach balances kindness with building great performance.
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