The motion picture group Lionsgate will layoff 15% of its film staff due to the impact of the coronavirus pandemic.
Joe Drake, the chairman of Lionsgate Motion Picture Group informed the staff through a memo on Thursday that there would be staffing cuts, the LA Times reported. A spokesperson said there were 450 employees of the company worldwide, and 15% of the staff would be laid off.
“While our business remains fundamentally strong, we are not immune to the ongoing COVID crisis that is impacting us like so many other studios,” Drake said in the memo, according to the LA Times. “These demands on our business necessitate that we accelerate changes to our own operations and strategic plan. And today, in order to meet the challenges and opportunities in front of us, we begin the implementation of a reorganization of the Motion Picture Group around four globally integrated verticals.”
Lionsgate, located in Santa Monica, is the company behind major movie franchises such as “John Wick” and “Hunger Games.”
HOLLYWOOD, CALIFORNIA – MAY 15: (L-R) Joe Drake, Ian McShane, Keanu Reeves, Halle Berry, Chad Stahelski and Nathan Kahane attend the special screening of Lionsgate’s “John Wick: Chapter 3 – Parabellum” at TCL Chinese Theatre on May 15, 2019 in Hollywood, California. (Photo by Frazer Harrison/Getty Images)
The company has struggled with the impact of the COVID-19 pandemic, largely centering around movie theaters remaining closed and the inability to release new films.
Other major studios including Walt Disney Co. and Warner Media plan on prioritizing streaming services to adapt to customers watching movies at home rather than in the theater. (RELATED: Disneyland Reveals Potential Changes To Theme Park Ahead Of Reopening)
On March 30, Lionsgate announced it laid off 20 employees, a move that was not directly confirmed as related to the virus, Variety reported.