ABS-CBN Corp. announced Tuesday that it will implement a retrenchment program affecting around 200 employees, or approximately 7% of its workforce, as the media giant moves to keep its finances on stable footing amid a challenging year for the content industry.
In an official statement released through its Corporate Communications team, ABS-CBN said the decision followed careful review of the company’s financial position. “After careful review, we have made the difficult decision to implement a retrenchment program to keep ABS-CBN on strong financial footing,” the company said.
Industry Headwinds
ABS-CBN attributed the move to a combination of external pressures that have weighed on advertising and consumer spending throughout the year. The company cited the ongoing Middle East conflict, high inflation, and low economic growth as key factors behind weaker demand. “These events have affected our recovery efforts and we expect these challenges to continue,” the statement read.
The retrenchment comes despite the company reporting continued growth in its content business, with its shows, films, music, and events reaching audiences across platforms both in the Philippines and internationally. ABS-CBN said it remains in the process of “re-building and re-creating” itself toward becoming a “global storytelling company.”
Fresh Capital Amid Cost-Cutting
The layoffs coincide with a significant capital-raising effort. ABS-CBN is in the process of raising ₱6 billion in fresh equity from new and existing investors, with proceeds earmarked for working capital, balance sheet strengthening, and other general corporate purposes, subject to required approvals. The capital infusion includes a major investment from I&C Holdings, alongside continued participation from Lopez family companies, which are expected to remain the network’s controlling shareholder following the transaction.
In its statement, ABS-CBN characterized the new investments as “a vote of confidence in the future of the company” that will support its “journey towards recovery and new successes.”
Financial Context
The retrenchment follows a period of sustained financial strain for the network. ABS-CBN reported a net loss of approximately ₱1.83 billion in the first half of 2026, a wider loss compared to the ₱853 million recorded over the same period in 2025, while revenue for the period declined to roughly ₱6.88 billion.
A Pattern Of Restructuring
Tuesday’s announcement marks the latest in a series of workforce reductions the network has undertaken since 2020, when the non-renewal of its congressional broadcast franchise forced ABS-CBN to cease free-to-air television operations and lay off thousands of employees. Two years ago, the company also retrenched around 100 employees, or roughly 3% of its workforce at the time, citing declining revenue from its television and pay TV operations.
Company Response
ABS-CBN acknowledged the personal toll the latest round of layoffs will take on its workforce. “We know this will deeply affect our employees and their families, and we intend to manage this the way we have always done — with compassion for our Kapamilya,” the company said, using the Filipino term for family that it commonly applies to its employees and audience.
The statement closed with an expression of gratitude to affected staff: “We are truly grateful to all our Kapamilyas for their dedication, passion, and service to the company and the Filipino people.”
ABS-CBN has not disclosed further details on separation packages or the timeline for the retrenchment program’s implementation.
