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Paramount plans to lay off hundreds of US staff, affecting 3.5% of its workforce, due to a decline in the cable-TV industry and broader economic issues.
Paramount has laid off its employees.
Just days after Disney downsized its workforce, Paramount Global has also decided to lay off hundreds of employees in the United States. The company attributes this move to the ongoing challenges in the traditional cable television industry and larger economic concerns.
According to a report by Bloomberg, the layoffs will impact roughly 3.5 per cent of Paramount’s US staff. This development was shared with employees through an internal memo issued by co-Chief Executive Officers George Cheeks, Chris McCarthy, and Brian Robbins. “These changes are necessary to address the environment we are operating in and best position Paramount for success,” the executives wrote in the memo, as reported.
Paramount, known for owning major media brands like CBS and MTV, as well as one of Hollywood’s most iconic studios, has been navigating a tough media landscape. This is not the company’s first round of job cuts. In fact, in 2023, Paramount had already let go of 15 per cent of its workforce across multiple rounds of layoffs. In this latest phase, most affected employees are expected to be informed immediately, according to the memo cited by Bloomberg.
The timing of the announcement comes as Paramount is working through two major issues — a proposed merger with Skydance Media, and a legal battle involving former US President Donald Trump. Trump has filed a lawsuit accusing CBS News of election interference, adding further complexity to the company’s current situation.
The broader television and film industry in the US has been under pressure for a while. Traditional cable viewership has been steadily declining as audiences shift to streaming platforms. Paramount’s latest move follows a similar cost-cutting decision made by Disney, which recently let go of hundreds of employees across its entertainment division. Deadline reported that Disney’s layoffs mostly affected staff in Los Angeles, and though no departments were completely shut down, the cuts were substantial.
(With inputs from Reuters)
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