More than 17,000 jobs were cut in the U.S. entertainment and media industry through the first 11 months of 2025, an 18% increase from the same period in 2024, according to outplacement firm Challenger, Gray & Christmas.
The layoffs, spanning television, film, broadcast, news and streaming, reflect ongoing consolidation, restructuring and the rising influence of artificial intelligence amid shifting consumer habits and declining traditional revenue streams.
Restructuring and mergers were primary drivers. The FCC approved the Paramount Global-Skydance Media merger in summer 2025, triggering significant job reductions across Paramount's operations. Disney also eliminated hundreds of positions as part of CEO Bob Iger's multiyear cost-cutting plan, initiated in 2023 to address falling cable subscriptions and the pivot to streaming.
News outlets saw 2,254 cuts—including broadcast, digital and print—with 179 in November alone. However, this marked a 50% decline from the prior year's pace.AI played an expanding role, with Challenger data showing it cited in nearly 55,000 planned layoffs economy-wide in 2025. A World Economic Forum survey indicated 41% of global companies anticipate workforce reductions due to AI over the next five years, though generative tools have sometimes underdelivered on promised efficiencies. Conversely, the WEF forecasts doubling of jobs in big data, fintech and AI by 2030.The sector's losses mirrored broader labor market weakness: U.S. employers announced over 71,000 cuts in November across industries—the second-highest monthly total in five years.Historical trends show escalation.
Media job cuts averaged 7,305 annually from 2010-2017 but rose to 14,298 per year since 2018, as companies avoid year-end announcements post-2008 financial crisis.
Amid contraction, the creator economy showed growth: While Los Angeles motion picture and sound recording employment dropped 27% from 2022-2024 (per Bureau of Labor Statistics), creator-related jobs and companies each rose 5%.
Media firms increasingly rely on AI amid fragmented audiences and shorter attention spans. New York became the first state in 2025 to mandate disclosure of AI as a layoff reason. A Columbia University journalism report noted AI currently assists rather than replaces news workers but warned: "AI is sufficiently mature to enable the replacement of at least some journalism jobs."