Revenue before jobs? Layoffs begin at Star India post record IPL win

Moneycontrol News

Less than a month after winning Premier League (IPL) media rights for record-setting sum, Star India has started laying off some employees, according to a report by The Economic Times. The employees are mainly from the distribution and other functions of the broadcaster.

Pink slips have been handed out to about 60 employees in distribution team, the report states citing sources. The total number of exits at Star India, including the ones in other functions, is close to 100 in the month. A few top-level executives from ad sales and revenue strategy units of Star Sports too have been asked to leave.

A source at Star, told the newspaper, "Distribution team has been pruned and laid off staff have received an average of 12-month severance package. This includes Mumbai-based as well as staff from other satellite offices. Senior employees from IT and a few other functions have also been handed pink slips while some senior ad sales executives from Star Sports have put in their papers."

There is great pressure to increase revenues, which has led to this situation, the person told the paper.

Sanjay Gupta, managing director of Star India, told the newspaper that the company is relooking at the business and recalibrating distribution.

Earlier this month, Star India had won the 'Global Media Rights' of the IPL for a period of five years (2018-2023), for a whopping sum of Rs 16,347.50 crore.