Paramount Global is starting Phase 2 of its anticipated cuts, according to a note sent earlier Tuesday morning by the media company’s co-chief professionals.
In this stage, there were no known layoffs overall. The company recently signaled that there would be three stages of cuts, the , first of which occurred in August. After Tuesday’s reductions, 90 % of the layoffs may be full, the letter said. In total, about 15 % of the bank’s U. S. people, or 2, 000 people, may be laid off across the three phases.
Co-CEOs George Cheeks, Chris McCarthy, and Brian Robbins, co-CEOs, said in the letter,” We are working to expand streaming success while at the same time adjusting to the changing environment in our classic companies. ” Days like today are not quick.” It is difficult to say goodbye to valued acquaintances, and to those departing, we are very grateful for your numerous efforts”.
In June, Paramount’s CEOs claimed the layoffs were an effort to reduce annual costs by$ 500 million. The firm said at the moment that the cuts may become focused on “redundant works” in media and contacts, as well as” streamlining our business construction”, including finance, legal, technology and other support functions.
Tech heir David Ellison’s Skydance Media, along with RedBird Capital Partners and Ellison’s parents, Larry, the co-founder of technology giant Oracle Corp.,  , are poised to take command of Paramount , in the first quarter of next year, if officials approve the deal.
Ellison, who is set to become Paramount’s CEO after the deal closes, has said he intends to evolve the legacy Hollywood institution into a , “media and technology company” . , Part of that plan includes improving the ad engine and algorithmic capabilities of the company’s Paramount + streaming service and using artificial intelligence tools to “enhance creativity and drive production efficiencies”, he said.
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