Channel 4, a publicly owned broadcaster, is set to let 200 employees go as well as vacate its Victoria-based offices.
Here’s a depressing news story for your Monday afternoon.
Channel 4 is cutting 200 jobs, as reported here by The Guardian. That represents about 15 percent of its 1300-strong workforce, making this a huge shift.
One of the reasons behind the mass layoffs is what’s being described as “the worst TV advertising downturn since 2008.”
The success of streaming services like Netflix and Disney+ has completely changed the advertising world, and Channel 4 is clearly feeling the effects. Earlier this month, it was reported that Channel 4 was looking to cut its £108 million annual wage bill drastically.
On top of those 200 employees being let go, the broadcaster is looking to close 40 unfilled roles as well as merge commissioning departments.
Channel 4 has been focusing on moving its workforce outside of London, and is thus selling its Victoria-based offices. According to The Guardian, the broadcaster is instead looking for smaller offices in Central London. The channel has pledged to increase jobs outside of London to 600 by 2025.
This isn’t the first step Channel 4 is taking to save cash. The broadcaster already slashed its £700 million content budget and shows such as Steph’s Packed Lunch, SAS: Who Dares Wins and The Big Narstie Show were axed to save money.
Channel 4 still relies on traditional advertising, but more and more customers have switched to streaming their films and TV shows.
A spokesperson for the broadcaster said “whilst organisational change is never without personal impact, it is a necessary response to allow us to stand out” in response to the layoffs according to the BBC.
