Paramount Skydance layoffs: US media company planning 1,000 job cuts; more likely to follow—what we know

Paramount Skydance Corp is planning to start a major round of layoffs with 1,000 job cuts on Wednesday, Bloomberg reported citing people aware of the development.

The second round of layoffs is expected to happen later, while the total number of job cuts previously reported was around 2,000.

The US-based media and entertainment company was formed after Paramount Global and Skydance Media merged in August, and new management has made clear that it wants to move swiftly to cut costs and restructure the business.

“We do not want to be a company that has layoffs every quarter,” the report quoted Paramount President Jeff Shell's statement after the merger. “So, it’s going to be painful.”

Paramount Skydance layoffs

The US-based media company was expected to begin mass layoffs by October 27, cutting nearly 2,000 jobs as part of a cost-cutting plans. These layoffs play a key role in the company's $2 billion cost-reduction plan spearheaded by new CEO David Ellison, according to a report by Variety.

The initial phase of layoffs will likely be limited to the US, while additional global job cuts are expected.

Paramount Skydance is expected to share details about its global workforce reduction during the third-quarter earnings announcement on November 10, the report said.

Meanwhile, John Dickerson, the co-anchor of CBS Evening News, announced his exit from the network by the end of the year, 16 years after he first hosted Face the Nation.

“I am extremely grateful for all that CBS gave me — the work, the audience’s attention and the honor of being a part of the network’s history — and I am grateful for my dear colleagues who’ve made me a better journalist and a better human,” Dickerson wrote in a post on Instagram.

Skydance's acquisition of CBS, a part of the Paramount merger, has led to rapid changes at the historic news organisation. Earlier this month, David Ellison, CEO of Paramount, appointed Bari Weiss as CBS News's editor in chief. Weiss previously founded the well-known online news platform, the Free Press, which Ellison also purchased. She has openly criticised numerous mainstream media outlets, alleging liberal bias. Additionally, Paramount appointed an ombudsman at CBS News to examine bias complaints.