Paramount Global will issue pink slips to around 3 percent of its global workforce as the company seeks to reign in expenses, according to a memo sent to workers on Tuesday.
The headcount reduction will see around 800 employees lose their jobs across Paramount’s divisions, including its television and film divisions that include Paramount Pictures, CBS News and Stations, Showtime, Paramount Plus, Pluto TV and the cable portfolio formerly known as MTV Networks.
News of the layoffs come hours after Paramount and the National Football League (NFL) touted record-breaking viewership for Super Bowl LVIII, which aired on CBS, Nickelodeon and Paramount Plus. More than 123.4 million people tuned in to watch the game, according to preliminary data released late Monday evening, making it the most-watched single television event in American history.
Still, in a memo to employees on Tuesday, Paramount CEO Bob Bakish said the company was not immune from the challenges of the current media and entertainment landscape that has impacted its business over the years. For that reason, Bakish said a few workers would need to be let go as Paramount sought to “grow revenue while reducing costs.”
Bakish did not specify the number of positions that would be eliminated, but a source familiar with the matter confirmed it would impact around 800 workers. Most of those employees will come from Paramount’s domestic operations, though a few positions will be eliminated overseas. Paramount has over 24,000 employees around the world.
“I am confident this is the right decision for our future,” Bakish said in the memo. “These adjustments will help enable us to build on our momentum and execute our strategic vision for the year ahead, and I firmly believe we have much to be excited about.”
Paramount is set to disclose its fourth-quarter and full-year 2023 earnings on February 28.
The full memo from Paramount CEO Bob Bakish appears below:
Team,
As we shared at Bob Live in January, returning our company to earnings growth is a top priority in 2024. This will require us to continue to grow revenue, while reducing costs. And unfortunately, part of streamlining costs means that today, we will begin the difficult process of saying goodbye to some of our very valued colleagues across Paramount.
We will be notifying impacted employees who are based in the U.S. by the close of business today. We’ll share details directly regarding next steps and will do all we can to support you during this time of transition.
There will also be impacts in some of our offices based outside the U.S. Those notifications will occur over time in line with our local legal obligations in each of the countries where we operate.
To those with whom we are parting ways, we are incredibly grateful for your hard work and dedication. Your talents have helped us advance our mission of unleashing the power of content around the world. We are a better company because of you.
While I realize these changes are in no way easy, as I said last month, I am confident this is the right decision for our future. These adjustments will help enable us to build on our momentum and execute our strategic vision for the year ahead, and I firmly believe we have much to be excited about.
We are coming off of a blockbuster event with Super Bowl LVIII that showcased the full power of Paramount. We’re launching a big slate of new and returning prime-time programming on CBS, and last night marked the return of Jon Stewart to The Daily Show. We continue to release films, like Bob Marley: One Love this week, which reinforce our heritage as one of Hollywood’s most iconic movie studios. And we’re coming together as One Paramount more than ever, with continued commitment to our values, culture imperatives and fostering an inclusive workplace.
We should all take time this week to support one another – our colleagues who will be impacted, as well as our teams remaining – in adjusting to this change. Speaking personally, I want our entire team to know that I am committed to sharing updates when we’re able to. As always, I am continually grateful for your commitment to our company. And I’m confident we will navigate this transition and emerge stronger than ever.
Best, Bob
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- Super Bowl LVIII on CBS, Paramount Plus smashes viewership record
- Cox Media stations returned to DirecTV before Super Bowl LVIII
