After Facebook, Amazon, Flipkart, Ola, JioStar is also inline to start with their layoffs. JioStar will lay off more than 1,100 employees. The set back came as the newly formed joint venture between Reliance Industries Ltd’s Viacom18 and The Walt Disney Company’s India unit cuts overlapping roles following the merger. Accordin t reports, JioStar is set to layoff more than 1,100 employees
Why The Layoffs
Viacom18 and Disney’s Star India have merged, forming India’s largest media company. The layoffs are part of a broader effort to consolidate operations and improve efficiency. The company is also prioritizing high-growth sectors, particularly sports and digital streaming. Industry executives suggest that Disney Star’s strong presence in regional markets may lead to further streamlining of Viacom18’s regional channels. However, JioStar is also gearing up to expand its sports portfolio, with plans to launch new channels. The Reliance-Disney merger has created India’s largest media company, valued at Rs 70,352 crore (post-money). Experts believe the layoffs are part of a broader strategy to optimize resources, reduce redundancies, and streamline operations for a leaner, more efficient organization.
Who All Will Be Impacted
The layoffs are hitting employees across various corporate departments, including distribution, finance, commercial, and legal, according to nearly a dozen people who spoke to Mint on condition of anonymity. Those affected range from entry-level workers to senior managers, directors, and even assistant vice presidents, highlighting the widespread impact of the job cuts.
“So far, sports has remained untouched because the Champions Trophy, Women’s Premier League (WPL), and Indian Premier League (IPL) are scheduled back-to-back,” Mint cited a source as saying. However, regional entertainment channels like Colors Kannada and Colors Bangla have been significantly impacted, with job reductions expected to continue.
Moreover, A rival company’s CEO has revealed that he is already receiving CVs from JioStar employees with annual salaries exceeding Rs 1 crore, who are looking for new opportunities. JioStar is providing severance packages to affected employees to help them adjust to the job transition.
Potential Compensation Package
As per an ET NOW report, the compensation varies based on their length of service, ranging from six to twelve months’ salary.
- Employees will receive one month’s salary for every year completed at the company, in addition to the notice period ranging from one to three months)
- Employees with less than 6 years at the company will still get a minimum of seven months’ salary, including notice period pay
- Employees with longer tenures could receive up to 15 months’ compensation
- Even employees who haven’t completed the mandatory five-year tenure for gratuity eligibility will receive a pro-rata payout
- Additionally, a few impacted employees—particularly from tech and digital services—may be offered roles within Jio or Reliance Group companies, providing an alternative career path
