Hollywood is continuing to grapple with job cuts as Burbank-based post-production studio Roundabout Entertainment announced plans to lay off 81 employees. The layoffs are scheduled to begin on December 29, according to the Los Angeles Times.
An executive familiar with the situation told the publication that the firings are part of a restructuring effort by the company's new ownership. Roundabout Entertainment, founded in 1992, provides services such as color correction and subtitling for films and television.
The cuts at Roundabout Entertainment come amid a broader trend of significant layoffs within the entertainment industry. Disney is reportedly considering thousands of job cuts, with managers tasked with identifying 20% in yearly cost savings. In September, Disney also laid off approximately 200 workers, including staff from Pixar, National Geographic, and ESPN.
Following the merger of Paramount and Warner Bros. Discovery, concerns about widespread layoffs have been prevalent. David Ellison, CEO of Skydance, has stated his intention to achieve at least $6 billion in annual savings within three years, which could translate to thousands of job losses. A recent report assessing the potential economic impact of the Paramount and Skydance acquisition of Warner Bros. Discovery indicated that approximately 4,500 direct film and television jobs, over 10,000 total job-years, and $4.06 billion in business output could be at risk.
In an effort to support the industry, California Governor Gavin Newsom signed legislation in September to expand the state's television tax credit program. He also recently proposed a $1 billion Hollywood tax in response to the ongoing layoffs.