The film industry is beginning to get back on its feet gradually, with production on many films recommencing with added safety precautions. However, the industry as a whole is still adjusting to account for the loss of revenue brought about by state mandated theater closures. A key change is a cut in staff at all levels.
The cuts at Lionsgate are significant, with 15 % of its motion picture group being let go. The department contained about 450 people after their layoffs in March, and is being further reduced by about 70.
Chairman of the Motion Picture Group Joe Drake said in a statement to employees that there will be much reorganization to account for the changing industry, and that “individuals across the MPG will be impacted as groups are being combined, and new roles have been defined or eliminated as part of this process.” He also noted that the company will be “making enhancements to our separation policy in a number of areas including healthcare, job support and severance,” to help lessen the blow for those let go.
Lionsgate is facing many changes, as they are one studio who relies heavily on theatrical release. With major markets still closed in LA, New York, and beyond, they may have to reconsider the future of theaters versus streaming in order to carry into this pandemic and later, post-pandemic, era where digital seems to be taking the lead.
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