Paradigm Talent Agency permanently cuts 180 employees

Paradigm Talent Agency said it will permanently lay off 180 employees, roughly 70% of the staffers who were temporarily let go from their jobs in March.

The layoffs are the latest sign of the economic stress in the agency business, which has been hammered by fallout from the COVID-19 pandemic.

“As you know, over the last six months, we have brought back as many of our temporarily laid off colleagues as we could; unfortunately, the profound effects of the coronavirus have continued to severely impact every aspect of our industry and our world for longer than we had even imagined six months ago,� Sam Gores, Paradigm’s chairman and chief executive, said in a note to staff. “Consequently, we had to examine every aspect of our business and make this difficult decision.�

As the pandemic postponed or cancelled many Hollywood productions and live events, talent agencies including Paradigm implemented cost-cutting measures, such as layoffs, furloughs and salary reductions.

Paradigm in March temporarily laid off employees. Initial reports put the number at more than 100 employees affected. After employee complaints, Gores later revealed to The Times that it was actually 250 employees who had been furloughed.

In January, the company had more than 700 employees.