ABS-CBN cuts 200 jobs as recovery remains elusive
The retrenchments will affect roughly 7% of the company's workforce.
MANILA, Philippines — Media conglomerate ABS-CBN Corp. announced plans to reduce its workforce by eliminating approximately 200 positions, constituting around 7% of its total employees, due to persistent financial struggles. The cuts, announced on September 15, were prompted by declining advertising revenues and consumer spending, exacerbated by regional disputes, high inflation, and sluggish economic growth.
In a statement, the company stated that the reduction in staff was necessary to maintain ABS-CBN's financial stability. This follows a challenging first half of the year, during which the company reported a net loss of P1.83 billion, more than doubling from P852 million in the previous year, despite a 5% decrease in operating expenses.
ABS-CBN expressed regret over the impact on its employees and their families, vowing to handle the situation with sensitivity and compassion. Additionally, Crème Investment Corp., Mantes Corp., and Presta Holdings Co. Inc., owned by members of the Lopez family, have pledged to buy P2.2 billion worth of ABS-CBN shares independently.
This investment coincides with ABS-CBN's ongoing transformation from a conventional broadcaster into a global storytelling enterprise, delivering television shows, films, music, and events via digital and international platforms.
Written by urgent.news from Philippine Star Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
