The much-talked-about layoffs set to hit CNN are now officially underway. In a memo to staff sent Wednesday, CNN chairman and CEO Chris Licht wrote that the layoffs have now started. He said the layoffs would initially focus on its paid contributors’ staff and then shift to full-time CNN staff on Thursday. (TVNewser)
A source familiar with the cuts said that “a couple hundred” people in total will be impacted. (Axios)
Licht said impacted employees will learn more through an in-person meeting or via Zoom, depending on the employee’s location and receive information about notice period or any severance that would apply. All employees who are bonus eligible will still receive their 2022 bonuses, Licht said. (The Hill)
Contributors are not employees but are under contract to serve as talking heads or experts appearing exclusively on the network. Most are kept on an annual retainer and are paid in the low six figures. Bigger names earn as much as $500,000 a year. (LA Times / Company Town)
The cuts come as CNN lags behind its chief competitors, Fox News and MSNBC, in total viewership this year, according to Nielsen data. It has notched some wins over MSNBC with viewers in the coveted advertiser demographic of 25- to 54-year-olds, but the sagging ratings overall have affected CNN’s profitability this year. (NYT)