Paramount Skydance Corp reportedly plans to lay-off about 2,000 United States-based employees as part of a US$2 billion (A$3.07 billion) cost-reduction initiative under new CEO David Ellison.
Variety magazine reported the job cuts, which have been expected for some time, would start in the week of 27 October.
“The expected U.S. job cuts represent more than 10% of Paramount's current headcount,” Variety wrote in this article.
They follow the $8.4 billion merger of Paramount Global with production studio Skydance, which was finalised in August.
Variety reported that at a news conference soon after the closure of the deal Paramount Skydance President Jeff Shell signalled a restructuring including workforce reductions with layoffs intended to be completed early November.
The company had about 18,600 full- and part-time staff in December 2024, down from 24,500 two years earlier.
Paramount Skydance nonetheless is pressing forward with expansion, outlaying large sums for content.
Reuters reported it could not confirm the report, and Paramount Skydance did not immediately respond to a request for comment.
Shares in Paramount Skydance (NASDAQ: PSKY), formerly known as Paramount Global, closed 13 cents (0.77%) lower at $16.77 on Friday (Saturday AEDT), which capitalises the company at $18.38 billion.
Paramount Skydance owns entertainment brands including Paramount Pictures, CBS, MTV, Comedy Central, Nickelodeon and Paramount+.
