On Tuesday, Paramount Global initiated the first of three rounds of layoffs, stating that it intends to cut 15% of its U.S. staff.
The corporation stated 90% of the job cuts will be accomplished by the end of September, with the downsizing process continuing until the end of the year.
Paramount, which is floundering as its linear networks lose value, is in the midst of selling to Skydance Media.
“The industry continues to evolve, and Paramount is at an inflection point where changes must be made to strengthen our business,” the company’s three co-CEOs, George Cheeks, Chris McCarthy, and Brian Robbins, wrote in a message. “And, while these actions are often painful, we are confident in our path forward. We recognize you may have questions concerning the next steps, and while we may not be able to provide all of the answers at this time, we will keep you updated on our progress.”
READ MORE: There Are Rumors That Paramount Is In Talks To Sell BET For $1.6 Billion
Paramount revealed the layoffs on its second-quarter earnings call last week. The cuts are part of a $500 million cost-cutting plan. Skydance intends to generate additional cost savings.
The corporation stated that the job cuts would target unnecessary functions and corporate teams.
“We understand that parting ways with teammates whose contributions have been critical to our success is extremely difficult. We are dedicated to offering support to employees migrating from Paramount, as well as our colleagues, who will need to adapt to these changes,” according to the CEOs’ memo. “During this time, we ask that everyone please be mindful of how this news may affect your colleagues and offer support to those who need it.”
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