This story was updated 2:29 p.m. April 4 to reflect the editor’s note.
Editor’s Note: The father of the writer of this story works for Netflix. No Netflix employee contributed to this concept, writing or editing of this story.
Netflix announced the creation of a $100 million relief fund to support the financially struggling casts, crews and freelance workers of the company on March 20.
While the fund may merely seem like a good deed on behalf of Netflix, in reality, it will positively affect the entertainment-loving viewers of Netflix as well.
As the COVID-19 pandemic affects individuals around the world, those who are adhering to the recommendation of social distancing turn to streaming services like Netflix for their entertainment.
On March 19, California Gov. Gavin Newsom issued a stay-at-home order which has left residents confined to their homes and dependent on the entertainment of subscription streaming services.
Netflix’s stock price has increased by 10% since governments started to suggest people practice social distancing, the National Association of Securities Dealers Automated Quotations reports.
In an interview with CNN on March 22, Chief Content Officer of Netflix Ted Sarandos said that social distancing has increased Netflix’s views.
“You can imagine, all viewing is up,” Sarandos said. “It’s up on Netflix, on CNN, on television in general.”
However, despite this rise in viewership for Netflix content, the entertainment industry as a whole has taken a hit. The COVID-19 outbreak has halted TV and film production across the globe, leaving casts and crews suddenly out of work.
Without a stable income during this time, workers of the entertainment industry may struggle and fail to land work when stay at home orders are lifted, meaning a lack of new content for viewers to enjoy in the future.
In an effort to provide a cushion for the creative community and to support them in these tough times, Netflix said in an official company announcement it will provide the majority of the funds to “the hardest-hit workers on our own productions.”
Financially supporting the production casts and crews will not only bring stability to their lives but will also bring a sense of hope for new content to subscription holders.
