The Sinclair Broadcasting Group is implementing “company-wide reductions” in its team due to the “profound impact” of the COVID-19 pandemic, according to several reports.
A spokesman for Sinclair told Variety that the company is giving up 5% of its workforce. The company employs more than 9,211 people, which means that about 460 employees will be affected.
The spokesman said in a statement to Variety that the impact of the pandemic “continues to be felt in all sectors of the economy, something that can have a profound impact on a company as diverse as ours”.
“From local companies and advertisers to distributors and partners, no component of the ecosystem of our business has been fully protected from the impact of the global pandemic,” said the statement. “In response to this, we are currently experiencing reductions in our entire workforce, including corporate headquarters, to ensure that we are well positioned for future success.”
In a memo to the team obtained by CNN Business, Sinclair CEO Chris Ripley said the decision “was not made lightly”.
“Last year, we saw many of our peers make massive reductions, a move we avoided taking while cutting elsewhere, including capital budgets, discretionary spending and non-essential spending.”
Sinclair on February 24 reported a 7 percent decreaseand total revenue for the fourth quarter of 2020 compared to the fourth quarter of 2019. However, total revenue for 2020 has increased 40 percent compared to 2019.
Sinclair operates about 190 television stations in 88 markets and has several national networks.