In a significant development within the entertainment industry, Lionsgate Alternative Television has emerged as the latest business to face the harsh reality of layoffs. The unscripted TV arm of the studio, renowned for series like Discovery’s Naked and Afraid and Dirty Jobs, has initiated a round of redundancies today. This move comes as part of the continued integration of eOne and Lionsgate, following the $375M deal closed twelve months ago, as well as the industry-wide trend of belt-tightening.

Impact and Employee Numbers

We hear that approximately 5% of the division’s employees have been affected. With around 100 people employed in this unit, the layoffs have had a notable impact. It is a clear indication of the challenges faced by the television business in the current economic climate.

This is not the first time Lionsgate has had to make such tough decisions. Last December, the company laid off around 10% of eOne’s workforce ahead of the merger closing. And in September, it offered U.S. employees a voluntary severance and early retirement program amid the contracting media and entertainment landscape.

Key Personnel Departures

Deadline understands that it’s hitting eOne’s U.S. label with Dirk Hoogstra, Nicole Sorrenti, and San Heng departing. Former History Channel boss Hoogstra joined the company in January as it launched Lionsgate Alternative Television. Before that, he was the CEO of Say Yes To The Dress producer Half Yard Productions, which is owned by Peter Chernin’s The North Road Company.

Sorrenti, who was the Chief Creative Officer at Half Yard, also left at the same time and joined Lionsgate in April as EVP, Development. Heng, who was previously a showrunner working on shows like RuPaul’s Drag Race and Chrissy & Dave Dine Out, was SVP, Development. These departures add to the challenges faced by the company as it navigates through these difficult times.

Company Background and Assets

Lionsgate Alternative Television was founded earlier this year, bringing together eOne’s unscripted assets with its own non-fiction division. It includes the Piligian-founded Pilgrim Media Group, which produces series like Discovery’s Dirty Jobs; Naked and Afraid producer Renegade; Blackfin, which produced Netflix’s Killer Inside: The Mind of Aaron Hernandez; The Yorkshire Vet producer Daisybeck; and eOne UK, which is behind MTV’s Ex on the Beach.

This diverse portfolio of assets showcases the company’s reach and capabilities in the unscripted TV space. However, despite its strengths, the company is not immune to the current market conditions and has had to take these measures to ensure its long-term viability.

Industry-wide Trend

Lionsgate is just the latest company to make further cuts this year. This month, The CW cut around 35 staff, CAA laid off between 20 and 30 people, and Anyone But You producer SK Global axed a similar number. Last month, UTA was impacted, Fox did layoffs as part of an ad sales reorganization, and other companies affected include Aardman and Allen Media Group.

The entertainment industry is facing a challenging period, with companies across the board having to make difficult decisions to stay afloat. Lionsgate’s layoffs are a reflection of this broader trend and the need for businesses to adapt and streamline in order to survive.