Paramount Global unveils ‘phase two’ of layoffs
Paramount Global unveiled a second wave of staff cuts Tuesday morning, part of a larger bid by the owner of CBS, Comedy Central and MTV to cut costs in a fraught era for traditional media companies.
In a memo to employees, Paramount co-CEOs George Cheeks, Chris McCarthy and Brian Robbins told staff: “To position Paramount for continued success, we are taking these actions, and after today, 90% of these reductions are complete. .”
Like its contemporaries, Paramount has struggled to turn a profit as a larger share of viewers for its TV shows and movies migrate to streaming video and digital interaction. The dynamics make the task of amassing the large, concurrent audiences that advertisers and distributors crave significantly more complex.
Paramount said in August it would cut 15% of its U.S. workforce — layoffs estimated to affect about 2,000 employees — ahead of its planned merger with Skydance Media.
With the layoffs, the company expects to record a restructuring charge of $300 million to $400 million in the third quarter.
“Days like today are never easy,” the executives said. “It is difficult to say goodbye to valued colleagues, and to those who are leaving we are deeply grateful for your countless contributions.”
More to come…
