Paramount slashes jobs as streaming wars intensify

Core Viewpoint - Paramount Global is reducing its U.S. workforce by 3.5% as part of a cost-cutting initiative, with the decision communicated by its co-CEOs in a company-wide memo [1][3]. Group 1: Workforce Reduction - The job cuts will affect 3.5% of the company's U.S. employees, with notifications being sent out to many workers on the same day the announcement was made [3][5]. - As of the end of 2024, Paramount employed approximately 18,600 individuals globally, both full-time and part-time [5]. - The memo indicated that employees in other countries might also face job cuts "over time" [5]. Group 2: Strategic Context - The layoffs are part of a broader strategy to streamline the organization amid ongoing industry-wide declines and a challenging macroeconomic environment, while also prioritizing investments in the growing streaming business [4]. - This follows a previous reduction of about 15% of the U.S.-based workforce last year, which primarily targeted redundant functions in marketing, communications, finance, legal, technology, and other support areas [10][11]. Group 3: Company Overview - Paramount Global has a market capitalization of $8.6 billion as of the announcement date and has a diverse portfolio that includes Paramount+, Comedy Central, MTV, Nickelodeon, CBS, and Paramount Pictures [8]. - The company is committed to supporting impacted employees with care and respect during this transition [7].