JioStar will sack over 1,100 employees from its workforce as a newly formed joint venture between Reliance Industries Ltd's Viacom18 and The Walt Disney Co.'s India to reduce extra roles after the merger, sources aware of the company's decision told Live Mint. Sources said that the layoffs began a month ago and will not stop until June 2025.
According to the Live Mint report, job cuts are in corporate roles, finance, commercial, and legal departments. The layoffs include entry-level employees, senior managers, senior directors, and even those at the assistant vice-president level. In the entertainment section, regional channels, including Colors Kannada and Colors Bangla witness workforce reductions, except in the sports sector, which has not been cut due to the ongoing Champions Trophy, Women's Premier League (WPL), and upcoming Indian Premier League (IPL) season 2025.
JioStar, created after merging Viacom18 and Disney's Star India, is India's largest media company. The layoffs are a step towards improving efficiencies and focusing on high-growth verticals, particularly in sectors like sports and digital streaming.
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"The staff restructuring is about optimizing resources and reducing duplication, ensuring the JV operates as a leaner and more efficient entity," said an industry executive tracking the developments to Live Mint. Rival streaming platforms reported that they are receiving resumes/CVs from JioStar workers with over Rs 1 crore annual packages who are ready to move.
JioStar is offering a generous severance package to the affected employees. The sacked employee will receive 6 months to 12 months of payouts, depending on the years served. The affected employees are getting one month's full salary for every year completed at the company, in addition to the notice period, which ranges from one to three months.
Employees who have served for less than 6 months will still get a minimum of 7 months of salary and benefits, including the notice period, while those with longer tenures could get up to 15 months of compensation.