Skydance, the new audiovisual giant born from the integration of Paramount Skydance and Warner Bros Discovery, has communicated to its staff that, starting now, it will be mandatory to go to the office five working days a week. At the same time, the company has opened the door for those who do not want to adapt to this in-person model to join a voluntary retirement program.
In an internal memorandum cited by Bloomberg, Skydance's CEO, David Ellison, and co-CEO, Ynon Kreiz, defended the shift towards in-person work by emphasizing that "We believe that in-person collaboration is essential to our culture and to the success of our business. Especially in a creative company like ours, the best ideas arise when people are in the same space, sharing perspectives, challenging each other, and solving problems."
The company's leaders point out that these initial measures may anticipate deeper adjustments in the coming months, as a direct consequence of the merger between both companies, which was formally closed on October 6. Already in August, the Los Angeles County Economic Opportunity Department warned that the operation could lead to the loss of up to 4,500 jobs in this area.
In the same internal document, the executive leadership admits that the new phase will not be to everyone's liking and, therefore, offers an orderly exit for those who prefer to disengage. "By bringing our teams together, we recognize that not everyone will see their future here, and we respect that. To offer eligible employees the option to move on in a way that suits them, we are implementing a voluntary retirement program," the document stated.
The merger took a decisive step on October 6, when Paramount Skydance confirmed the definitive closure of the purchase of Warner Bros Discovery, thus culminating the operation agreed upon in February for about $110 billion (€98.143 billion). The transaction was closed after competition with Netflix, which ultimately chose to withdraw its acquisition proposal for the entertainment company, which will operate under the Skydance brand.
After receiving all the regulatory authorizations provided for in the merger agreement and meeting the usual conditions for this type of operations, Skydance's class B shares have started trading on the New York Stock Exchange, after transferring their listing from Nasdaq.
The new resulting group integrates two of the most relevant film studios in the sector, two global-reaching streaming platforms, and a powerful television division that includes CBS, HBO, and the cable networks of Paramount and WBD. In addition, it includes the news networks CBS News and CNN, an important portfolio of live sports rights —led by CBS Sports and TNT Sports—, as well as a wide catalog of content and a large set of brands and franchises recognized worldwide.