In recent years, the left-leaning news network CNN has been embattled in a downward spiral of its ratings. Subsequently, the network’s CEO is reportedly looking to make organizational changes around the expensive salaries of CNN’s star personalities.
According to sources familiar with the matter, CNN’s new CEO, Mark Thompson, is gearing up to enact significant cuts and restructure the network amid the challenging ratings. Hosts Anderson Cooper, Chris Wallace, Wolf Blitzer, and Jake Tapper could all be cut from the network.
“Anderson knows he’s on the chopping block because he makes a whopping $20 million a year. He’s already started looking for a new gig!” a network insider explained to In Touch. “Chris Wallace takes $8 million and figures he’s a likely target, too!” The insider added, “Everybody knows the focus is on cutting costs. No one is safe!”
Recent reports also show that Thompson has scrambled to ease fears within the company after the CEO cut bonuses. Thompson assumed the leadership position at CNN after the short tenure of former CEO Chris Licht, where he has sought to address the “changing economics of television” and place the network on “better economic footing.”
“Change is never easy, but I’ve been struck by how many of you have come up to me or emailed me since then to say that you’re up for the challenge but want to know HOW and WHEN the change is going to happen,” Thompson stated.
Thompson informed CNN staffers via a company-wide memo that they should expect to see a reduction of up to 75% in their targeted bonuses. However, this figure was down from the 90% range offered under Chris Licht’s former leadership.
The executive is primarily focused on improving CNN’s digital experience amid the undeniable consumer trend of cord-cutting, where people are ditching traditional cable television for streaming services. From a strategic perspective, media companies must emphasize their digital footprint in the dynamic landscape.
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Thompson has constructed a five-point plan that has been met with intense criticism from detractors. One anonymous source slammed Thompson’s initiative as being vague and not containing anything meaningful for the direction of the company.
“It’s a five-point plan to make five-point plans,” the insider said. “In other words, there is no plan, but we are really planning to make lots of plans. And rest assured, there are lots of people overseeing the planning to make plans. And Mark is overseeing all of the people planning to make plans. So don’t worry. We’ve got this totally under control!”
Another source suggested that Thompson is trying to keep a sinking ship afloat. “He is rearranging the deck chairs on the Titanic,” they said. However, not everyone viewed Thompson’s efforts in such a negative light. “There has been frustration that we hadn’t heard from him but I appreciated the memo. It couldn’t have come at a better time,” another insider said, offering a more positive outlook. “It’s well thought out. I think he answered the questions on how and what to do. He laid out some pretty clear steps. It’s a good first step.”