The Lopez family-led media group held an internal meeting with staff on Tuesday, where it announced the difficult decision to layoff 100 employees.
This affects about 3 percent of the company’s workforce.
When reached by InsiderPH, ABS-CBN stated, “We are committed to providing those affected with full benefits and support and are deeply grateful for their many years of service to the company and to the public.”
Lower ad spending an industrywide problem
“[T]he TV industry as a whole has been hurt by lower consumer spending which translated into lower advertising spends. The company is also being affected by the global decline in the pay TV business,” ABS-CBN said in a statement.
ABS-CBN said losses during the first six months of 2024 narrowed by 5 percent to P2.1 billion, even as revenues dipped 11 percent to P7.8 billion. The company had also been meeting debt obligations, while negotiating new terms with lenders.
The company significantly lowered losses stemming from the non-renewal of its TV franchise during the term of President Duterte, which resulted in thousands of job cuts four years ago.
Other businesses segments are also improving.
“ABS-CBN has made significant progress in many of its businesses this year,” the media giant said.
“TV ratings continue to improve, Star Cinema produced two hits so far, with one of them being the highest grossing Filipino movie, and our music business has gotten a strong boost from the popularity of girl band Bini,” it added.
Based on recent ratings data, Batang Quiapo is the highest rating TV show in the country while Showtime is the highest rating noontime program.
Last July, ABS-CBN’s SkyCable struck a deal with tycoon Dennis Anthony Uy’s Converge ICT Solutions that will support its expansion and held address losses.
The commercial deal allows Sky to use Converge’s nationwide fiber intent network, upgrading services for subscribers.
Miguel R. Camus has been a reporter covering various domestic business topics since 2009.