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ProSiebenSat.1 to Cut 400 Jobs in Digital Reshaping
Germany’s ProSiebenSat.1 is planning to cut around 400 roles as it continues to restructure its business as a digital-first operation. This workforce reduction represents approximately 10% of its total workforce and will primarily impact the company’s entertainment businesses. ProSiebenSat.1 aims to implement a voluntary redundancy program, prioritizing avoiding compulsory redundancies as much as possible. The decision was made in talks with employee representatives. The network states that the reorganization is driven by the goal of achieving a more efficient structure, a cost base that is competitive, and processes that are clearly aligned with digital transformation.
ProSiebenSat.1’s Strategy Realignment
The job cuts come after the acquisition of entertainment streaming service Joyn last year and recent top-level management changes. ProSiebenSat.1 Media CEO Bert Habets explains that the strategy realignment is a response to the constantly changing media industry and the need to reassess the company’s position. Additionally, ProSiebenSat.1 has been operating in a challenging economic environment for four consecutive years, necessitating significant reductions in material and personnel costs. While the job cuts are difficult, they are deemed necessary for the company to enhance its earning power and achieve sustainable growth.
Future Outlook
Moving forward, ProSiebenSat.1 aims to increase its earning capacity and foster healthy growth. The company acknowledges the importance of adapting to industry changes and consistently evaluating its strategies. By implementing cost-saving measures and streamlining operations, ProSiebenSat.1 intends to position itself competitively in the digital landscape. The recent job cuts reflect the company’s commitment to this transformation process. More updates on ProSiebenSat.1’s digital reshaping can be expected in the future.
Image Credit: ProSiebenSat.1
