The CEO of Paramount, Bob Bakish, revealed plans for job cuts at the company, emphasizing the need to operate more efficiently and reduce expenses. Bakish stated that the primary focus is on increasing earnings, achieved through growing revenue and carefully managing costs, requiring alignment and collaboration across all teams, divisions, and brands. He mentioned the intention to expand the shared services model and streamline operations, which will inevitably lead to further global workforce reductions. The company did not disclose the exact number of jobs to be cut but also outlined plans to decrease international content spending. Paramount intends to provide further details on its 2024 strategy during the quarterly earnings report at the end of February.
These layoffs coincide with a broader trend of companies, both in the media industry and beyond, announcing job cuts as part of efforts to minimize expenses. Various media organizations, including the Los Angeles Times, Business Insider, and Sports Illustrated, have recently implemented staff reductions, reflecting a challenging period for the industry. Concurrently, there are discussions about David Ellison’s Skydance Media pursuing a potential deal to take Paramount private, as reported by CNBC. Bakish acknowledged the difficulties faced by the company, such as a sluggish market, economic instability, and disruptions caused by strikes from Hollywood writers and actors that disrupted studio production for a significant portion of the summer. Bakish indirectly referred to the speculations surrounding Paramount’s acquisition, emphasizing the importance of focusing on execution and adapting to existing realities amidst the ongoing changes.
