Paramount Set to Cut 1,000 Jobs in Major Layoff This Week

Paramount Skydance is preparing to lay off around 1,000 employees this week, mostly in the U.S., Variety has confirmed. These cuts are part of a larger plan that could eventually eliminate roughly 2,000 jobs in the United States, with more reductions expected internationally, according to a source familiar with the plans.

A spokesperson for Paramount Skydance declined to comment. Bloomberg first reported the company’s layoff plans for this week.

The layoffs come after the $8 billion merger between Skydance Media and Paramount Global. Cost-cutting measures were anticipated even before the deal closed, as part of a goal to reduce expenses by up to $2 billion.

At a press conference on August 7 in New York, following the merger, Jeff Shell, the former NBCUniversal CEO now serving as president of Paramount Skydance, told reporters that the company would implement cost cuts and layoffs quickly, with details to be included in the third-quarter 2025 earnings report.

Paramount Skydance is scheduled to report its Q3 results on November 10 after the market closes.

David Ellison, chairman and CEO of Paramount Skydance, has ambitious plans for the company. He has explored a potential second deal with Warner Bros. Discovery to create a larger entertainment competitor capable of taking on streaming giants like Netflix, Apple, and Amazon, though Warner Bros. Discovery has so far declined the overtures.

Since taking control of Paramount, Ellison has made several major moves. The company spent $7 billion for an exclusive seven-year deal with UFC and signed the Duffer Brothers, creators of Stranger Things, to a four-year exclusive agreement for movies, shows, and streaming content.

Some decisions have been controversial, including the $150 million purchase of The Free Press and appointing its founder Bari Weiss as editor-in-chief of CBS News despite her lack of television experience.

Even with aggressive investments, Paramount is facing challenges common to the media industry. Revenues are dropping as audiences shift from cable and broadcast television to streaming, and the theatrical film business has yet to fully recover from the pandemic.

The layoffs mark a significant moment for Paramount Skydance as it navigates the post-merger landscape. What do you think about these cuts and the company’s aggressive strategy? Share your thoughts in the comments.