ESPN to reduce 4.3 percent of its workforce

Walt Disney’s sports network ESPN has planned to cut about 4.3 percent of its workforce, which would lead to a loss of 350 employees, because of constantly increasing programming costs and reducing number of subscribers.

The cuts were announced as early as Wednesday, according to the people who are aware of the matter. In August, Disney made an announcement that its cable networks were not expected to meet the company requirements due to the loss of viewers on pay television.

The job cut is not anything new for the sports network. It is the second time that ESPN has decided to reduce its labour force in the past three years. “These changes are part of a broad strategy to ensure we’re in position to make the most of new opportunities to build the future of ESPN,” CEO John Skipper wrote in a letter to employees.

In spite of the loss of subscribers, ESPN has not only retained its position as a competent sports event broadcaster but also extended its reach as the largest news outlet. Skipper said that it was only the company’s will that has driven it to maintain its consistency in the world of entertainment.

He added that the right decisions have been made for the company, despite the negative effect those decisions have on employees, who form an integral part of the efforts and have adapted with the changes.

ESPN escaped from commenting on the matter on Tuesday. “ESPN has historically embraced evolving technology to smartly navigate our business. Any organisational changes will be announced directly to our employees if and when appropriate,” the company said via a statement released in September while planning the job cuts, reported The Big Lead.

Contact the writer at feedback@ibtimes.com.au, or let us know what you think below.