For some yes, but in general, it was a cost saving move. The $1000 minimum was too generous to keep up. Many writers went from earning $1000 with very little effort to <$100 (which was totally fair, but a cost saving measure nonetheless). But you're right that not all writers were affected adversely and there are other ways to make money on the platform.

Also, I've talked to some writers who were offered different terms (presumably to keep them on the platform), so my guess is some of those savings were needed to retain these writers.