Paramount Global is preparing to lay off between 2,000 and 3,000 employees by early November 2025, following its recent merger with Skydance Media. This significant workforce reduction is part of a broader cost-cutting strategy aimed at achieving over $2 billion in post-merger synergies, coinciding with Paramount’s third quarter 2025 earnings report.
Why Are the Layoffs Happening?
The layoffs come after Paramount’s merger with Skydance Media, a deal valued at approximately $28 billion, which closed after gaining necessary approvals. The merger has prompted the company to streamline operations and reduce redundancies across its divisions. Paramount’s new leadership, led by David Ellison, has been transparent about the need for these cuts to improve financial performance and invest strategically in content.
Despite the layoffs, Paramount is aggressively investing in high-profile content deals, including a $7 billion UFC rights agreement and a multi-year exclusive partnership with the creators of “Stranger Things,” the Duffer Brothers. These moves aim to strengthen Paramount Plus in the highly competitive streaming market, even as the platform continues to face challenges.
Who Will Be Affected?
The job cuts are expected to impact employees across various Paramount divisions, with television networks likely among the hardest hit. As of December 2024, Paramount employed approximately 18,600 people worldwide, so the layoffs could affect roughly 10-16% of the workforce.
While the exact number of affected employees may vary, early reports indicate the layoffs will be substantial and widespread. Paramount has not issued a public statement regarding the layoffs, but insiders confirm the reductions will start by early November 2025.
What Does This Mean for the Media and Entertainment Industry?
Paramount’s layoffs reflect broader trends in the media and entertainment sector, where companies are consolidating to compete with streaming giants like Netflix, Disney+, and Amazon Prime Video. The pressure to deliver exclusive, high-quality content while managing costs is forcing many media companies to restructure.
Paramount’s strategy highlights the tension between investing heavily in content and managing operational expenses. The company’s $7 billion UFC deal and partnerships with top creators demonstrate a commitment to content leadership, but the layoffs underscore the financial realities of sustaining such investments.
Key Takeaways for Job Seekers and Industry Professionals
- Industry volatility: Media professionals should be aware of ongoing consolidation and restructuring, which may affect job security.
- Skills in demand: Expertise in digital streaming, content creation, and rights management remain highly valuable as companies pivot to streaming platforms.
- Adaptability: Employees may need to adapt to new roles or companies as mergers and layoffs reshape the industry landscape.
- Networking and continuous learning: Staying connected and updating skills can improve resilience during industry shifts.
Looking Ahead
Paramount’s upcoming earnings report in Q3 2025 will provide more clarity on the company’s financial health and the impact of the layoffs. While the cuts are difficult for those affected, they are part of a strategic plan to position Paramount as a stronger competitor in the evolving media landscape.
For employees and job seekers, understanding these industry dynamics can help in navigating career decisions and identifying opportunities in a changing market.
Source of Info
Original reporting on Paramount’s layoffs was provided by Reuters.