Sony Pictures Entertainment is laying off 450 people, more than 6.5% of its global workforce, as part of a studio-wide belt-tightening move blamed on the growth of piracy and changing media consumption patterns, particularly the ongoing downturn in DVD sales.
In a memo sent to Sony Pictures' approximately 6,800 employees Monday, Chairman Michael Lynton and Co-Chairman Amy Pascal said most of the layoffs would affect the home entertainment and information technology divisions. But all divisions will be affected, they said, including motion pictures, television, digital production and even the corporate suites.
Along with the layoffs, which will start in March, the studio is eliminating about 100 open positions.
“Our industry is affected by two things: It's affected by the economy, of course, and it's affected by technology," Pascal said Monday in a video message to employees. “Over the last two years, it's changed people's DVD-buying habits, which has had a huge effect on our company and the industry at large."
This will be the second time in a year that Sony Pictures has slashed its workforce. Last March, the studio laid off 250 people and eliminated an additional 100 positions.
In a memo sent to Sony Pictures' approximately 6,800 employees Monday, Chairman Michael Lynton and Co-Chairman Amy Pascal said most of the layoffs would affect the home entertainment and information technology divisions. But all divisions will be affected, they said, including motion pictures, television, digital production and even the corporate suites.
Along with the layoffs, which will start in March, the studio is eliminating about 100 open positions.
“Our industry is affected by two things: It's affected by the economy, of course, and it's affected by technology," Pascal said Monday in a video message to employees. “Over the last two years, it's changed people's DVD-buying habits, which has had a huge effect on our company and the industry at large."
This will be the second time in a year that Sony Pictures has slashed its workforce. Last March, the studio laid off 250 people and eliminated an additional 100 positions.
