ESPN confirmed this morning that it will hand out pink slips to over 300 employees. The move comes as the Disney-owned sports media giant has struggled as more consumers cut the cord and sports broadcasting fees continue to climb.
Sources told Bloomberg on Tuesday that ESPN planned on laying off as many as 350 positions, over 4 percent of its workforce. The Wall Street Journal reports that ESPN President John Skipper did send a memo to employees today to confirm the move.
The layoffs are expected to impact several departments across the company, including technology, administration, distribution and advertising, a source told the Wall Street Journal.
ESPN has struggled recently, even though it generates $10 billion a year in revenue for Disney, notes The Hollywood Reporter. The company has already tried to make big moves by letting go of major personalities like Bill Simmons and Colin Cowherd. Still, ESPN has lost subscribers and the costs of carrying NFL’s Monday Night Football and NBA games might be catching up with the company.
“I realize this process will be difficult – for everyone – but we believe the steps we are taking will ultimately create important competitive advantages for our business over the long term,” Skipper wrote in today’s memo. “I sincerely appreciate your professionalism and continued support as we move forward to ensure the continued success of ESPN and assure sports fans everywhere the best is yet to come.”