Paramount Skydance
- David Ellison is mandating full-time office return for Paramount Skydance staff starting in January.
- The 5-day RTO policy coincides with planned job cuts to achieve $2 billion in savings.
- Paramount Skydance’s policy goes further than peers like Warner Bros. Discovery and Disney.
In one of his first moves as chief of the new Paramount Skydance, David Ellison is ordering employees back to the office five days a week.
The move comes as staff are bracing for big job cuts. The company said it would cut 3.5%, or hundreds of employees, CNBC reported, as it looks to make a promised $2 billion in cost cuts.
Ellison said the return would start in January with Los Angeles- and New York-based employees. Severance would be offered starting this month to those who can’t or don’t want to return full time.
“I believe that in-person collaboration is absolutely vital to building and strengthening our culture and driving the success of our business,” Ellison wrote in a memo seen by Business Insider.
Employees have had various reactions to the news. One told Business Insider that they’d have to leave the company because they couldn’t move to New York for family reasons. Another said as a single person with no kids, they didn’t mind.
“I know people who don’t live near NYC or LA and international contractors are worried, but we don’t know how they are going to handle that yet,” this person added.
Ellison, along with his father, Oracle billionaire Larry Ellison, recently took control of Paramount Global from Shari Redstone.
David Ellison has said he plans to revive the storied entertainment company with a tech infusion and other changes. He’s moved fast, agreeing to a $7.7 billion deal for the rights to the UFC.
Corporate America has gradually been rolling back pandemic-era remote work policies, but Paramount Skydance’s policy goes further than many of its media and entertainment peers. Warner Bros. Discovery has called people back three days a week, while Disney has mandated a four-day return for many employees.
Here’s Ellison’s full memo:
Dear Team, I believe that in-person collaboration is absolutely vital to building and strengthening our culture and driving the success of our business. Our people are the key to winning, and being together helps us innovate, solve problems, share ideas, create, challenge one another, and build the relationships that will make this company great. As I said during our town hall, some of the most formative moments of my life happened in rooms where I was a fly on the wall, listening and learning. I’ve never seen that happen on Zoom. Being together in-person isn’t just about showing up — it’s about actively engaging with the business, supporting one another and the team’s efforts, and contributing to our shared momentum. To achieve what we’ve set out to do — and to truly unlock Paramount’s full potential — we must make meaningful changes that position us for long-term success. These changes are about building a stronger, more connected, and agile organization that can deliver on our goals and compete at the highest level. We have a lot to accomplish and we’re moving fast. We need to all be rowing in the same direction. And especially when you’re dealing with a creative business like ours, that begins with being together in person. With this in mind, we will begin a phased return-to-office plan starting in January 2026, ultimately moving towards an in-person work environment where employees are in the office full-time (five days a week). Here’s what to expect: Phase One: Beginning January 5, 2026, employees assigned to our Los Angeles and New York offices will return to full-time office work. We understand that some people may not choose or be able to make this transition. And so, starting today through September 15, 2025, we will be offering a severance opt-in program for VPs and below, based in Los Angeles and New York, who cannot or do not wish to return full-time. Details will be shared directly with those eligible. Phase Two: In 2026, we will announce plans for employees not assigned to our Los Angeles and New York offices, including international offices and those originally hired into fully remote roles. VPs and below in Phase Two will be eligible for a similar opt-in program and will receive details at a later date. We will be adopting this same approach in our international offices and will roll out the specific plans in accordance with our local legal obligations. We recognize this represents a significant change for many, and we’re committed to supporting you throughout this transition. We will work closely with managers to ensure you have the time and flexibility to make the necessary adjustments. For more details, please log into Okta to visit our FAQ page. If you don’t find what you need, you can submit additional questions to our AskHR team. Thank you for your patience, adaptability, and continued dedication. Together, we are building a company that is stronger, more innovative, and ready to win. The opportunity ahead is extraordinary, and I’m confident that working side by side, we will achieve great things. Best, David ** Certain union and non-union employees are ineligible for the opt-in severance program, including—but not limited to—those who work full-time onsite, are under contract, are non-staff or are part of the production workforce (including video game production). Additionally, they may also be subject to different return to office expectations, which will be shared separately.