By RTT News,
August 25, 2014, 10:09:00 PM EDT
(RTTNews.com) - Media and entertainment giant Time Warner, Inc. ( TWX ) is gearing up to send home up to 600 employees or about 4 percent of the workforce at its Turner Broadcasting cable TV division, according to media reports on Monday. The company is reportedly preparing to offer voluntary buyouts to these employees.
The Turner Broadcasting System, Inc. division, which runs cable networks such as CNN, TNT, HLN, TBS and the Cartoon Network, has a total workforce of about 13,500 full-time employees.
Some reports say that the division may end up laying off more than a thousand employees as an internal memo last week from CEO John Martin promised to enter 2015 a more streamlined, nimble and efficient company. The division has been profitable and reportedly generates half of Time Warner's profits, but has been hit by continued increase in programming costs.
The layoffs could begin as early as later this week. However, a company that targets a layoff of more than 500 employees has to file a notice with the state, which has so far not been done.
The division manages the collection of cable networks and properties initiated or acquired by Robert Edward "Ted" Turner starting during the 1970s. It now operates as a semi-autonomous unit of Time Warner.
The New York-based company's move comes as part of the "Turner 2020" restructuring initiative as it pursues focus on cost cutting in order to free cash for investing in programming and technology.
TWX closed Monday's regular trading session at $76.95, down $0.28 or 0.36% on a volume of 3.33 million shares. The stock slid a further $0.26 or 0.34% in after-hours trading.
For comments and feedback: contact firstname.lastname@example.org