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CNN
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A major Paramount division announced Tuesday it will close MTV News and cut its U.S. workforce by 25%, ending the news arm of the iconic music video network that once covered issues ranging from pop culture to politics and became a generational household name. X and Millennials.
Chris McCarthy, president of Paramount Media Networks, MTV and Showtime, said in a memo to employees Tuesday that despite the media giant’s “success” in streaming, the company continues to “feel pressure from the broader economic crisis, like many of our peers.”
“As a result, we have taken the very difficult but necessary decision to reduce our domestic team by approximately 25%,” he continued. “By eliminating some units and streamlining others, we can reduce costs as we move forward and create a more efficient approach to our business.”
Employees affected by the layoffs will be notified in person on Tuesday, McCarthy said.
The decision to close MTV News, which has already been significantly scaled back in recent years, comes less than a month after BuzzFeed announced it was scrapping its award-winning news division. A vast overhaul.
MTV News’ meteoric rise began in the 1980s when Rolling Stone editor-turned-TV host Kurt Loder teamed up with the network to launch its “The Week in Rock” program and other specials. During the 90s, MTV News also provided an alternative to traditional cable news that appealed to young Americans.
The cuts, which McCarthy described as “strategic restructuring,” are aimed at streamlining units and reducing overall costs, which will be more effective as the company moves forward.
Aside from MTV News, few units at the company are being completely eliminated, most of which are operations, a Paramount spokeswoman said.
Nearly every major news, entertainment and technology company has been forced to cut its workforce in recent months as they grapple with a shrinking advertising market and other industry challenges.
CNN, The Washington Post, NPR, Gannett, Vox Media, NBC News and others have also cut staff in recent months.
Correction: An earlier version of this story misstated who was making the job cuts. Paramount Media Networks, Showtime and MTV divisions cut US staff by 25%.
