Netflix Executive Fired After Disclosing Ketamine Use at Company Retreat

Kevin Bailey, former vice president and head of creative at Eyeline Studios, owned by Netflix, is suing the company, claiming he was fired about a month after an investigator questioned him regarding his use of ketamine, which he received under medical supervision to treat depression. According to the lawsuit, a Netflix attorney admitted that the treatment "was a factor in the termination," and Bailey claims he was denied up to a year of severance pay. Bailey reportedly received the treatments at a clinic in Santa Barbara in October and November 2022, following his mother's death.

The events leading to his firing began at a Netflix retreat in January 2026, intended to encourage openness among employees as part of a "vulnerability-trust exercise" held at the company-owned "Sandro Ranch" complex in Northern California. During the exercise, Bailey shared openly about his ketamine treatment for clinical depression. He later faced questions from a company investigator whose phrasing, he claims, raised suspicions of recreational drug use. He was fired in April 2026.

The investigation preceding his termination also addressed allegations of profanity and alcohol consumption at the same retreat, where colleagues asked him to demonstrate a trick, leading him to drink beer while standing on his head after sharing his personal background. A central part of Bailey's lawsuit focuses on what he describes as an "alcohol-focused workplace," extending to off-site meetings, awards events, and management gatherings. He alleges that drinking at company events was common and encouraged.

Among the examples cited in the lawsuit, Eyeline Studios CEO Jeff Shapiro allegedly purchased beer for the team on the way to a Visual Effects Society awards ceremony and maintained a personal bar in his office to serve employees, including after meetings with Netflix co-CEO Ted Sarandos. Bailey also notes alcohol consumption at a reception for Shapiro in September 2024, at Netflix's annual business review in March 2025, and at a Los Angeles Lakers game in February 2026. Furthermore, he claims that at off-site team meetings, participants were told they could serve themselves drinks from the bar after hours.

The lawsuit highlights Netflix's internal culture of giving managers broad leeway under the "people over process" approach and the "(almost) no rules" policy, noting the lack of a stated alcohol policy on the company's job page. Bailey, who earned an annual salary of $1.1 million, is seeking compensation for lost wages and damages for emotional distress.