The number of seats can be reduced by the admin of the account. Auto renew must be ON to reduce the number of seats.
To Reduce the number of seats:
1. Go to Subscriptions:
2. Scroll down to Renewal Settings:
3. Select the Edit option:
4. Reduce the number of seats for renewal and click Save:
5. The number of seats will update:
Please note that team admins can only deactivate the number of free seats the team has for the next term. If there are no free seats on the current plan, a message will appear to ask admins to deactivate users first.