Paramount World mentioned Tuesday that the leisure and media firm is chopping 3.5% of its workforce, citing challenges within the broader U.S. financial system and within the linear tv enterprise. 

It is the most recent spherical of layoffs on the media firm — which owns the CBS broadcast community in addition to cable channels, reminiscent of MTV and Nickelodeon — because it prepares to merge with film studio Skydance Media. 

In a memo despatched Tuesday morning to staff from the corporate’s three co-CEOs — George Cheeks, Chris McCarthy and Brian Robbins — Paramount mentioned the layoffs would have an effect on U.S. employees, with “the vast majority of impacted employees being notified right now.” Some staff outdoors the U.S. may later be impacted, in response to the memo. 

Paramount had about 18,600 full- and part-time employees in 32 international locations on the finish of 2024, in response to a regulatory submitting.

As customers shift to streaming media and viewership declines for conventional TV and cable networks, Paramount has put extra assets into its streaming enterprise, Paramount+. It is also banking on its merger with Skydance, an leisure enterprise launched by David Ellison, son of Oracle founder Larry Ellison, to assist revive its fortunes. 

“As we navigate the continued industrywide linear declines and dynamic macro-economic atmosphere, whereas prioritizing investments in our rising streaming enterprise, we’re taking the onerous, however essential steps to additional streamline our group beginning this week,” the co-CEOs wrote within the memo. 

A spokesman for Paramount mentioned the corporate declined additional remark.

The most recent cuts come after the media big slashed about 15% of its workforce final 12 months, a part of an effort to trim prices by $500 million and return the corporate to profitability. 

For the primary three months of the 12 months, Paramount reported web earnings of $152 million on income of $7.1 billion, in contrast with a lack of $563 million on income of $7.6 billion within the year-ago interval.

Paramount and Skydance are awaiting regulatory approval for the merger amid a lawsuit filed by President Trump towards the community. The swimsuit claims that CBS’ “60 Minutes” program deliberately misled the general public in its modifying of an October 2024 interview with then-Vice President Kamala Harris about her presidential candidacy. The community has repeatedly mentioned the claims are “utterly with out benefit.” 

Authorized consultants have mentioned they view the lawsuit as “frivolous” and an infringement on First Modification rights. Mediation between Paramount and Mr. Trump’s authorized staff is ongoing.