**Paramount Global Faces Lawsuit Over Alleged Violation of Layoff Notice Laws**

Paramount Global is now entangled in a legal battle as a new lawsuit alleges the company failed to provide adequate notice to more than 300 employees before terminating their positions. Filed in New York federal court on Thursday, the proposed class action claims that Paramount violated the New York State Worker Adjustment and Retraining Notification (WARN) Act, which mandates a 90-day notice for mass layoffs.

In a statement addressing the lawsuit, Paramount denied any wrongdoing. "Paramount employees entitled to Federal or State WARN notice receive it," the company asserted. Despite this, the allegations have brought renewed attention to the entertainment giant's recent cost-cutting measures.

The lawsuit focuses on layoffs initiated as part of Paramount's substantial workforce reduction plan announced on September 24. Phase two of this plan aims to cut 15 percent of the company’s U.S.-based workforce, targeting $500 million in cost savings. Co-CEOs George Cheeks, Brian Robbins, and Chris McCarthy issued a memo explaining that the reductions are necessary to "accelerate streaming profitability" and adapt to the changing media landscape. According to the company, 90 percent of the planned layoffs have already been completed.

The legal action was instigated on behalf of Julian Hagins and claims that approximately 295 employees at Paramount's New York headquarters were terminated, along with at least 50 employees from nearby worksites, effective September 30. The plaintiffs are seeking compensation that includes wages, salaries, commissions, bonuses, accrued holiday pay, and benefits for a 60-day period, which they argue would have been provided if Paramount adhered to WARN Act requirements.

Under federal guidelines, companies with over 100 employees must give advance notice of layoffs affecting more than 500 people. New York State imposes stricter rules, requiring notice if a layoff impacts a third of the workforce or at least 250 employees at a single location. Failure to comply with these laws can result in penalties, including back wages and benefits, along with a civil penalty.

This recent legal challenge comes after Paramount’s initial round of layoffs last month, which included closing Paramount TV Studios and the departure of several high-profile executives. As the case progresses, it highlights the ongoing tension between corporate cost-cutting measures and employee rights under labor laws.