Zee to cut 15% of workforce

The layoffs are expected to affect approximately 500 employees, of the total 3,437 permanent staff reported in the company’s 2022-23 annual report.

The company said on Friday that a proposed new structure, presented to the Board, seeks to establish a cost-efficient operational model. This model is designed to spur higher growth by focusing on performance and profitability. According to Zee’s statement, the organizational redesign aligns with these objectives.

“Building a simplified, lateral structure for the company, will ensure that we maintain a sharp focus on performance and profitability as key growth drivers, and the structure proposed to the Board is in line with this core thought. The streamlined team at ZEE will maintain a sharper focus on targeting higher levels of productivity to drive growth in order to generate value for all our stakeholders going forward,” Goenka said in a statement.

Over the past few weeks, Zee has witnessed a spate of senior-level exits, including Rahul Johri, president of business; Punit Misra, president of content and international markets; and Nitin Mittal, president and group chief technology officer, as part of its efforts to cut costs and streamline operations.

The planned organizational design intends to cultivate a collaborative, performance-driven culture where each team member acts as a partner and co-owner of the business, Zee added. 

In this restructured setting, Goenka has proposed promoting team members across different business units to higher responsibilities. He also plans to take direct oversight of key business areas to encourage cross-functional collaboration.

Zee will disclose the specifics of the new operational framework after obtaining the necessary approvals and guidance from the board. To strengthen content creation capabilities, the lateral structure will focus on a more collaborative environment across the core business segments to leverage synergies in terms of creativity, technology and revenue generating opportunities, the broadcaster said.

The core business units of the proposed structure will include broadcast with the linear business including Zee’s portfolio of channels across genres, digital, the movie studio and the music vertical whose focus will be to fortify its stronghold in the market and further enhance its monetization avenues aiming at profitability.

“The board has noted the MD and CEO’s steps being taken to streamline the organization and the proposed lean structure. While the Board is in the process of discussing the same, the proposed structure certainly is in line with the strategic guidance provided to the management,” R. Gopalan, chairman, ZEE said in a statement.

Milestone Alert!
Livemint tops charts as the fastest growing news website in the world 🌏 Click here to know more.

Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it’s all here, just a click away! Login Now!

Published: 05 Apr 2024, 06:28 PM IST