Paramount has started a round of layoffs affecting about 2,000 employees, following its recent $8 billion merger with Skydance. According to a source familiar with the situation, around 1,000 job cuts were made across the company on Wednesday. The remaining reductions are expected to take place at a later date. These layoffs represent approximately 10% of Paramount’s total workforce.
“These decisions are never made lightly, especially given their effect on our colleagues who have made meaningful contributions to the company,” CEO David Ellison wrote Wednesday in a memo to employees.
Ellison explained that restructuring efforts have been underway since the merger was completed in August and said that workforce reductions are “part of that process.” Layoffs after mergers are common as companies seek efficiencies. After Skydance acquired Paramount, leadership indicated they would look for ways to streamline operations.
Since forming the new entity, Ellison has pursued additional acquisitions and changed leadership at CBS, Paramount’s main broadcast network. On October 6, Paramount announced it had acquired The Free Press and named its founder Bari Weiss as editor-in-chief of CBS News. There is also speculation that Paramount may be considering acquiring Warner Bros. Discovery.
