ABS-CBN to Cut 200 Jobs as Net Loss Widens to P1.83 Billion

 

ABS-CBN Corp. is set to cut around 200 jobs, equivalent to approximately 7% of its workforce, as the media company continues efforts to stabilize its finances amid sustained pressure on advertising and consumer spending.

The retrenchment was announced Tuesday, September 15, with ABS-CBN pointing to regional conflicts, elevated inflation and sluggish economic growth as major challenges affecting the broader content industry. The company said the program followed a review of its operations and financial position.

The move comes after a difficult first half of the year. ABS-CBN reported in August that its net loss reached P1.83 billion, more than double the P852 million loss recorded during the same period a year earlier. The wider deficit was recorded despite a 5% reduction in consolidated operating expenses, equivalent to P482 million, bringing total expenses down to P8.46 billion.

The latest workforce reduction underscores the financial strain facing ABS-CBN six years after the Duterte administration declined to renew the company's broadcast franchise. Without its traditional free-to-air operations, the network has been forced to restructure its business around digital distribution, content production and international markets.

ABS-CBN is also receiving fresh financial support from companies representing three branches of the Lopez family. Crème Investment Corp., Mantes Corp. and Presta Holdings Co. Inc. have committed a combined P2.2 billion to subscribe to ABS-CBN shares, with the investment to be funded through their own resources.

That capital infusion provides additional financial backing as the company reshapes its business model. ABS-CBN now positions itself less as a conventional broadcaster and more as a global storytelling enterprise, distributing television content, films, music and live events through digital channels and overseas platforms.

For employees affected by the retrenchment, however, the restructuring carries an immediate human cost. ABS-CBN acknowledged that the job losses would affect workers and their families and said it intends to implement the program with consideration for those impacted.

The company’s current strategy reflects a broader transformation in the media industry, where audience migration to digital platforms and weaker traditional advertising demand have made legacy broadcasting models increasingly difficult to sustain.