The reckoning for the media and entertainment industry is that further layoffs will continue in 2024 as rising costs and debt-laden balance sheets continue to weigh on the struggling industry.
Here's what top media and entertainment companies have in mind when it comes to layoffs in 2024.
paramount global
Amid M&A rumors surrounding the future of Paramount Global (PARA), CEO Bob Bakish announced layoffs in an internal memo obtained by Yahoo Finance on Thursday.
The executive cited the need to “operate as a lean company and reduce spending.”
“As in past years, this means we will continue to reduce our workforce globally. These decisions are never easy, but they are essential to our path to revenue growth,” the memo said. has been written.
YouTube
Even tech giant Alphabet (GOOG, GOOGL) is not immune to layoffs.
Last week, the company cut 100 employees from YouTube's creator management and operations divisions, a spokesperson confirmed to Yahoo Finance. This is the company's first corporate reorganization in 10 years. YouTube has 7,173 employees worldwide.
The layoffs come after Alphabet cut thousands of jobs across its engineering, hardware and advertising teams to reduce its workforce.
united music group
Universal Music Group (UMG), one of the industry's most prominent record companies, plans to lay off hundreds of employees later this quarter, according to Bloomberg.
UMG has not fully confirmed the report, but a spokesperson hinted at the layoffs in a company statement provided to Yahoo Finance, saying, “The company is committed to continuing to be nimble and responsive to a dynamic market. “We are driving efficiencies in other areas of our business so that we can leverage our economies of scale at the same time.”
pixar
Disney's (DIS) animation division will reportedly lay off up to 20% of its 1,300 employees, according to TechCrunch. The cuts come as the company's box office revenue struggles and streaming profitability lags.
Disney did not immediately respond to Yahoo Finance's request for confirmation of the report.
business insider
The online publication, a subsidiary of German publisher Axel Springer SE, announced Thursday that it would cut “approximately 8%” of its workforce. This is a recent trend that has permeated major news organizations across the country. (See Los Angeles Times next.)
“We ended last year with a plan, a clear audience and a vision,” Business Insider CEO Barbara Penn wrote in a memo to staff. “This is the year to make that happen and focus on working with the company towards this future. Unfortunately, this also means we have to downsize some areas of the organization.”
Los Angeles Times
The Los Angeles Times announced sweeping layoffs Tuesday, eliminating at least 115 staff positions, or about 20% of its newsroom.
The layoffs are the largest in the Times' 142-year history, the Times said.
The paper's owner, Dr. Patrick Soon-Shiong, said the job cuts were necessary to offset annual losses of up to $40 million due to the difficult advertising environment.
sports illustrated
One of the most prominent sports publications laid off most (or all) of its staff last week after its publisher, Arena Group Holdings, was stripped of its license to operate the publication.
Arena Group failed to pay $3.8 million in quarterly licensing fees to Authentic Brands Group, which has owned the magazine since 2019. That same year, Authentic Brands Group sold the publishing rights to Arena Group in a 10-year deal.
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