Tumult in entertainment continues, with layoffs hitting Paramount this week. Around 1,000 staffers received pink slips on Wednesday, with 1,000 more job cuts expected, making up roughly 10% of the company's workforce (via Poynter).
One Paramount executive told Variety it's "a bloodbath."
Senior vice presidents at CBS Entertainment, marketing heads at MTV, talent executives across networks, and experienced professionals with decades in the business are out.
The co-hosts of CBS Saturday Morning were among the cuts, as was first reported by The New York Post.
Several CBS News streaming shows got canceled. The Johannesburg bureau closed.
Paramount CEO David Ellison says the company needs to cut costs by more than $2 billion after completing its $8 billion merger with Skydance. He told the company in a memo on Wednesday that some roles were redundancies, and others were no longer aligned with the company's goals.
According to Deadline's running tally, the entertainment industry has been hemorrhaging jobs all year. Disney cut hundreds in June. Warner Bros. Discovery initiated another round affecting cable operations. Lionsgate trimmed 6% of its workforce. CNN eliminated around 200 positions.
Streaming was supposed to save us. Instead, it created content that can't be monetized as effectively as linear TV, and now companies are pulling back. Linear networks and marketing divisions are taking the hardest hits in these cuts.
So what do you do if you're trying to make it as a filmmaker or creative professional right now? First, we need to stop assuming institutional stability exists. With more potential mergers on the horizon, we're all bracing for big change.
Jobs at major studios and networks seem to be evaporating. So it can benefit you to think like an independent operator. Build your own audience, create your own projects, and control what you can.
Read Ellison's full memo below (via The Hollywood Reporter):
Dear All,
When we launched the new Paramount in August, we made clear that building a strong, future-focused company would require significant change – including restructuring the organization. As part of that process, we must also reduce the size of our workforce, and we recognize these actions affect our most important asset: our people.
We want to be as open and direct as possible about the reasons behind these changes. In some areas, we are addressing redundancies that have emerged across the organization. In others, we are phasing out roles that are no longer aligned with our evolving priorities and the new structure designed to strengthen our focus on growth. Ultimately, these steps are necessary to position Paramount for long-term success.
That said, today we begin the difficult process of informing impacted team members across the company. These decisions are never made lightly, especially given their effect on our colleagues who have made meaningful contributions to the company. To this end, we are committed to supporting all employees through this transition. Members of our HR team will be working closely with business unit leaders to share detailed information on benefits and transition services. Additional questions can be directed to [HR email].
We are deeply grateful for your hard work, professionalism, and resilience during this period of transition. We remain confident that Paramount’s best days are ahead, and we’re committed to building a strong foundation for the future.
Thank you,
David
