Days after Super Bowl 58 smashed viewership records and Paramount saw record-breaking ad sales, the company is moving forward with significant layoffs, according to a memo from CEO Bob Bakish on Tuesday.

Reports say the company could cut up to 800 jobs across its portfolio, which includes CBS, Paramount+, Paramount Pictures, Pluto TV, Showtime and cable networks.

Between the lines

In the memo obtained by STAGERUNNER, Bakish noted that returning the company to “earnings growth” is a top priority in 2024, and that requires “reducing costs.”

“And unfortunately, part of streamlining costs means that today, we will begin the difficult process of saying goodbye to some of our very valued colleagues across Paramount,” Bakish said.

The memo states that impacted employees will be notified by today’s close of business, and there will also be impacts outside of the U.S. that will occur over time to adhere to local legal obligations.

“To those with whom we are parting ways, we are incredibly grateful for your hard work and dedication,” Bakish said. “Your talents have helped us advance our mission of unleashing the power of content around the world. We are a better company because of you.”

SUPER BOWL 58 BREAKS VIEWERSHIP RECORDS WITH SWIFT RISE IN RATINGS

Besides announcing cuts, Bakish hyped up the company’s accomplishments, including “a blockbuster event with Super Bowl LVIII” and Jon Stewart returning to The Daily Show.

“As always, I am continually grateful for your commitment to our company. And I’m confident we will navigate this transition and emerge stronger than ever,” Bakish said.

Bottom line

Regardless of the timing of the cuts, the writing has been on the wall for Paramount. Bakish previously sent a memo in January that started speculation on layoffs, noting that the global workforce would be reduced and “every team, division and brand” will be aligned.

That memo came amid constant rumors of a buyer circling Paramount, with David Ellison’s Skydance Media and media mogul Byron Allen in the mix.

See the full memo below:

Team,

As we shared at Bob Live in January, returning our company to earnings growth is a top priority in 2024. This will require us to continue to grow revenue, while reducing costs. And unfortunately, part of streamlining costs means that today, we will begin the difficult process of saying goodbye to some of our very valued colleagues across Paramount.

We will be notifying impacted employees who are based in the U.S. by the close of business today. We’ll share details directly regarding next steps and will do all we can to support you during this time of transition.

There will also be impacts in some of our offices based outside the U.S. Those notifications will occur over time in line with our local legal obligations in each of the countries where we operate.

To those with whom we are parting ways, we are incredibly grateful for your hard work and dedication. Your talents have helped us advance our mission of unleashing the power of content around the world. We are a better company because of you.

While I realize these changes are in no way easy, as I said last month, I am confident this is the right decision for our future. These adjustments will help enable us to build on our momentum and execute our strategic vision for the year ahead – and I firmly believe we have much to be excited about.

We are coming off of a blockbuster event with Super Bowl LVIII that showcased the full power of Paramount. We’re launching a big slate of new and returning primetime programming on CBS, and last night marked the return of Jon Stewart to The Daily Show. We continue to release films, like Bob Marley: One Love this week, which reinforce our heritage as one of Hollywood’s most iconic movie studios. And we’re coming together as One Paramount more than ever, with continued commitment to our values, culture imperatives and fostering an inclusive workplace.

We should all take time this week to support one another – our colleagues who will be impacted, as well as our teams remaining – in adjusting to this change. Speaking personally, I want our entire team to know that I am committed to sharing updates when we’re able to.

As always, I am continually grateful for your commitment to our company. And I’m confident we will navigate this transition and emerge stronger than ever.

Best, Bob