ESPN will begin to cut about 500 jobs starting today. The cuts will be a combination of about 300 layoffs and 200 open positions that won’t be filled, with remote production expected to be hit especially hard. “Prior to the pandemic, we had been deeply engaged in strategizing how best to position ESPN for future success amidst tremendous disruption in how fans consume sports,” ESPN President Jimmy Pitaro said in a note sent to employees this morning. “The pandemic’s significant impact on our business clearly accelerated those forward-looking discussions. In the short term, we enacted various steps like executive and talent salary reductions, furloughs and budget cuts, and we implemented innovative operations and production approaches, all in an effort to weather the COVID storm. We have, however, reached an inflection point.”
Corporate layoffs have hit sports media hard since the beginning of the pandemic, as accelerated cord cutting combined with a soft ad market hurt revenue and sent the business into a cost-cutting mode. Network production departments have been hit particularly hard, as networks have relied more on producing games remotely, which takes less manpower. Fox Sports, NBC Sports and DAZN have pared back their work forces in recent months. Back in September, ESPN’s parent, Disney, announced plans for 28,000 layoffs in its parks and resorts division. Disney will hold its Q4 earnings call in one week, on Nov. 12, after the markets close.
