In a significant move ahead of its upcoming merger with Skydance Media, Paramount is closing its TV production studio as part of a larger restructuring strategy.
This decision will lead to a 15% reduction in the company’s workforce.
A memo shared with employees today, obtained by The Hollywood Reporter, revealed that Paramount TV head Nicole Clemens and Paramount co-CEO George Cheeks announced the closure of the studio. Clemens, who joined Paramount in 2018 after Amy Powell’s sudden departure, is also set to exit the company. Ongoing TV series and projects under Paramount will be transitioned to CBS Studios.
Despite the closure, Clemens and Cheeks assured that Paramount’s creative spirit will continue through the shows that will be enjoyed globally for years to come. This announcement follows last week’s news that Paramount is preparing to reduce its workforce by 15% across marketing, communications, technology, and finance divisions, as part of a three-phase cost-cutting plan expected to conclude by September.
“The industry is evolving, and Paramount is at a critical juncture where necessary changes must be made to strengthen our business,” said the CEOs. “While these actions are difficult, we are confident in our direction moving forward.”
