Broadcaster Zee Entertainment said on April 5 it is cutting 15% of its workforce in its latest bid to trim costs.
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The job cuts could affect nearly 700 employees at the company, which had a total headcount of 4,577 employees, according to its latest annual report. Key employees have been identified to be promoted and will be given higher responsibility besides assuming direct charge of the critical business verticals.
Broadcast, Digital, Movies and Music will be the 4 key business verticals in the lean structure. This is part of Zee's move to substantially cut costs and reduce losses in its business, including its English TV channels, to meet a key profit target, as mandated by a company-formed review panel.
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Zee has had two major deals fail in January — a $10 billion merger with Sony India and a $1.4 billion cricket broadcasting deal with Walt Disney.
Earlier this week, Zee Chief Executive Punit Goenka took a 20% pay cut, while the company made cuts in the workforce at its Technology & Innovation Centre in Bengaluru on March 29.
R. Gopalan, Chairman, ZEE stated, “The Board has noted the MD & CEO’s steps being taken to streamline the organization and the proposed lean structure. The Board appreciates the steps taken by the management to enhance the overall performance of the company, reaffirming our faith in the team’s ability to drive the company towards its set targets for the future.”
(With inputs from Reuters)