Paramount Global announced Tuesday that it was laying off some of its “highly valued colleagues,” including in its Paramount+ team. Variety reported As of Tuesday, the cuts will affect about 800 employees, or about 3% of the media giant's workforce. “I am confident this is the right decision for our future,” CEO Bob Bakish wrote in a leaked staff memo. Paramount Global's revenue increased 3% in the third quarter of 2023.
Bakish's memo says the company will notify laid-off staff by the close of business on Tuesday. He added that international offices will also be affected. “These notifications will be made over time, consistent with our local legal obligations in each of the countries where we operate,” the CEO wrote.
Variety says the layoffs will be distributed among all divisions of the company. These include Paramount+, CBS, Paramount Pictures, Showtime, Comedy Central, MTV, Nickelodeon and Pluto TV.
The CEO referenced Super Bowl LVIII, which became what the NFL said was the most watched television show of all time. Bakish attributed this to the game's broadcast showcasing “the full power of Paramount.” Some might counter that it instead showed “the full power” of combining NFL fans with Taylor Swift fans.
Bakish's memo shouted out Jon Stewart, who income at Comedy Central The daily show Monday. (During the host's return to 2024, he suggested a new slogan for the 2024 US presidential election: “What the f#@k do we do?”) Stewart agreed last month to recover your old desk once a week after leaving your Apple TV+ series, The problem with Jon Stewart, after only two seasons. Apple's cancellation reportedly came after disagreements with iPhone maker about episodes criticizing China and AI. Legislators later asked Apple about the fallout.
Paramount's streaming and theatrical divisions have driven recent growth, but its traditional television offerings continue to struggle. Revenues in this area fell 8% in the third quarter of 2024, and television advertising fell 14%. The company's struggles in linear television have reportedly put it on the verge of mergers and acquisitions, including (allegedly stalled) merger talks with Warner Bros. Discovery in December 2023.