ZEE Entertainment implements 15pc staff cut across units
According to ZEEL's annual report for 2022-23, the current permanent employee count stands at 3,437
image for illustrative purpose
New Delhi: ZEE Entertainment Enterprises Ltd, under the leadership of MD & CEO Punit Goenka, has announced a workforce reduction of 15 percent as part of a rationalization process. This initiative aims to streamline the company's staff strength across various units, focusing on broadcast, digital, movies, and music as core business areas.
In a regulatory filing, ZEEL mentioned that Goenka proposed a lean organization structure to the board, emphasizing a lateral structure. The goal is to create a more cost-effective operational model with speed and agility as core priorities. This move is aligned with the company's strategic priorities for future growth and profitability.
According to ZEEL's annual report for 2022-23, the current permanent employee count stands at 3,437. The new proposed structure intends to foster a collaborative, performance-oriented culture within the organization. Additionally, Goenka has suggested elevating certain team members across businesses to assume higher responsibilities.
The company highlighted that the detailed composition of the new operating structure will be announced after obtaining the necessary approvals and guidance from the board. Goenka stated, "Building a simplified, lateral structure for the company will ensure a sharp focus on performance and profitability as key growth drivers."
Chairman R Gopalan expressed the board's appreciation for Goenka's steps to streamline the organization and the proposed lean structure. He mentioned that the proposed structure is in line with the strategic guidance provided to the management and reaffirmed the board's confidence in the team's ability to meet future targets.
ZEEL outlined the core business units of the proposed structure, including broadcast, digital, movies, and music. The company emphasized that the linear business will remain a strong growth driver, with a diverse portfolio of channels across genres. The digital business will focus on delivering compelling content and technology to consumers, while the movie business aims to become a leading pan-India film studio. The music business will focus on strengthening its market presence and increasing monetization avenues.
In a related development, Goenka had previously announced a 20 per cent cut in his remuneration, aligning with the strategic and frugal approach implemented across the organization. According to the company's annual report for 2022-23, Goenka's total remuneration was Rs 35.07 crore.
Last week, ZEEL also announced a reduction of about 50 per cent in staff at its Technology and Innovation Centre (TIC) following guidance from a special committee. This move is part of assessing various business verticals, with the TIC previously employing over 650 engineers.
