Paramount Layoffs Anticipated to Start Before November
The anticipated layoffs at Paramount are expected to commence earlier than previously predicted. Sources indicate these cuts might begin as soon as the week of October 27, ahead of an important earnings call.
Upcoming Earnings Call and Leadership Changes
David Ellison, the newly appointed CEO of Paramount, will lead his first earnings call on November 10. He took over the company in August. During this call, Ellison and his leadership team are expected to discuss financial forecasts and strategic initiatives.
Details of the Layoffs
While the exact number of positions to be eliminated remains uncertain, reports suggest it may affect around 2,000 employees. Paramount’s workforce totaled over 18,600 at the close of 2024, leading to concerns about the impact of these layoffs.
- The layoffs are part of a broader cost-cutting strategy.
- Earlier cuts have already taken place ahead of the recent Skydance acquisition.
- The layoffs are likely to impact various divisions, including CBS News, the film studio, and streaming platforms.
Strategic Investments Amidst Layoffs
Despite these layoffs, both Ellison and President Jeff Shell emphasize a focus on growth. Shell highlighted the need for efficiency while investing in the future. “You can’t cut your way to growth in this business; you have to invest,” he stated during a press conference on August 7, coinciding with the Skydance deal closure.
Ellison pointed out his commitment to substantial investments, supported by a $7.7 billion deal for UFC rights. Other initiatives include partnerships for Beri Weiss’ The Free Press and film rights for the Call of Duty video game franchise. The goal is to create long-term value while exceeding $2 billion in announced run-rate synergies.
As the situation develops, the entertainment industry watches closely, given the implications these layoffs and strategic decisions may have for Paramount’s future.
