Paramount will implement another round of large-scale company-wide job cuts on Tuesday.
Co-CEOs George Cheeks, Brian Robbins and Chris McCarthy said in a memo to employees on Tuesday morning that the company would implement the “second phase” of job cuts today, but that “90 percent of the reductions will be complete” by the end of the day.
Last month, company executives announced a major plan to cut 15% of its U.S. workforce in an effort to cut $500 million in costs. The first set of job cuts came shortly after the announcement, with the co-CEOs telling employees the cuts would happen in three phases.
Among the changes made in the last round of layoffs were the closure of Paramount TV Studios and the departure of a number of high-profile executives.
It was not immediately clear who would be most affected by Tuesday’s job cuts, but the co-CEOs wrote that “like across the media industry, we are working to accelerate streaming profitability while simultaneously adapting to changing conditions in our traditional businesses.”
But CBS News is among the divisions affected, and the IBEW union said in a statement that “IBEW members have been producing CBS news since before television was invented, and these cuts are unacceptable.”
It was also not immediately clear when the company plans to implement the remaining 10% cut, but management had previously targeted the end of 2024.
The full memo from Robbins, McCarthy and Cheeks can be read below.
Hey everyone,
Following on from our memo below (which announced our first set of reductions in August), today we are announcing that we are beginning the second phase of workforce reductions in the United States.
“Like the entire media industry, we are working to accelerate streaming profitability while simultaneously adapting to the changing conditions of our traditional business. We are taking these steps to position Paramount for continued success, and as of today, 90% of these reductions will be complete.”
Days like today are never easy, and while it is difficult to say goodbye to valued colleagues, we are incredibly grateful to those who are leaving for their countless contributions.
We thank everyone who has worked to create some of our biggest hits in television and film for their tenacity and dedication, and for continuing the difficult but necessary work to best position the company for the future.
thank you,
George, Chris, Brian