Zee Entertainment has laid off 50% of the employees of its Technology and Innovation Center (TIC) in Bengaluru. The company has done this layoff for cost cutting and to increase its operating margin. Zee has given information about this in the stock exchange filing on Friday.
The company says that TIC has been restructured after guidance received from the board of Zee Entertainment. The ZEE board had recently asked the management team to reduce TIC expenses by 50% from ₹600 crore for FY25.
Zee's MD and CEO Punit Goenka said- We are focused on creating exceptional content. To achieve this we need a mix of creative approach, detailed consumer insights and futuristic technology solutions.
He said these steps are in line with the company's approach to optimize resources and reach a cost-effective structure to drive continued growth. TIC's well-organized team will now focus solely on enabling and empowering us in the process of content creation, distribution and monetization.
ZEE Entertainment wants to reach 20% operating margin. For this, the board management wants to cut losses from five verticals - Margo Networks (Sugarbox), Teleplay and Zidagi, Hippy, Wayyak and the English cluster of linear TV business.
Zee is a global content company, which runs 50 channels in the country. It includes Hindi General Entertainment Channels, Regional Entertainment Channels, Hindi Movie Channels and other channels. Along with this, the company runs more than 40 channels in 120 countries. It also has a digital platform ZEE5. Zee launched its first channel Zee TV in 1992.
