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December 29, 2005

The Blood Fever At Dreamamount Builds

Going into the lovely New Year’s holiday, Paramount Human Resources did the H.R. equivalent of asking the entire company to make sure to wear collarless shirts to work for the next few weeks if they don’t want the guillotine messing up their clothes.

With gold-plated watches being handed out left and right in the last week, the reality of the DreamWorks take-over of/by Paramount is becoming clear. And shockingly enough, Page Six was first to say it out loud. Paramount is paying for the deal in Soylent Green.

Forget any reporter who wants to tell you that this deal had anything to do with using DreamWorks projects to ramp up Paramount’s anemic production slate. The reality is that Tom Freston and Brad Gray are using DreamWorks to ramp up the reconstruction of the Paramount employee infrastructure. As anyone can tell you, neither Brad Gray nor Gail Berman knows the movie turf well enough to construct a really strong list of candidates for any particular job or to convince any major department head targets to join the Paramount ranks. Suddenly, with veteran department heads from DreamWorks swooping in, that is no longer a problem.

At this point, only two DreamWorks department heads have been shown the door. Both happened to be in jobs whose mirror slots were recently filled at Paramount. Hmmm…

Gail Berman, Rob Moore, John Lesher, and the newish hires in Physical Production are completely safe. And don’t be surprised if Gerry Rich sticks around… as head of marketing for Paramount Classics.

Page Six is wrong is saying that firings have leaked out only because “the DreamWorks people ran their mouths.” However, it is true that the firings so far, like the ones at Par Classics that went unreported in the trades for more than two weeks, are stealth-y, giving the fired a chance to start looking for a job and also a chance for the studio to put the best face on the moves. There are at least a half dozen already done firings of significance that have yet to be reported.

But Paramount H.R. broke stealth mode today by sending out a mass memo to all Paramount employees reconfirming the rules of disengagement. I do not have the memo in hand yet, but basically it explains that exit packages are being beefed up a little (to keep people from beefing) and how your contract will be paid out if you are under contract.

The expected process will continue to be like a Fantasy League draft. Captains for each department will be set and they will pick who stays and who goes. But with the captains of most departments coming from the DreamWorks side, you can guess who will dominate the draft. Between the two companies, it is unlikely that any less than 250 people will join the ranks of the unemployed, with just under 100 left on the sidebar to run the day-to-day of DreamWorks: The Production Entity.

Some seem to feel that the big bloodbath will wait until early February, as the takeover is officially settled. Others feel that tomorrow, the day before a 3 or 4-day weekend, will be remembered as Black Friday for years to come.

The clock is ticking.

Posted by poland at December 29, 2005 03:49 PM

Comments

I'm confused. What exactly does this have to do with Brokeback Mountain?

Posted by: waterbucket [TypeKey Profile Page] at December 29, 2005 04:17 PM

Ha ha. Waterbucket, you beat me to it. I was going to make the exact same joke.

Anyways, back to Kong vs. Narnia.

Posted by: Eric [TypeKey Profile Page] at December 29, 2005 04:51 PM

I guess this inside baseball industry info (which I love, more please!) doesn't play well in Peoria, where people would rather rehash boring old debates.

Posted by: Wrecktum [TypeKey Profile Page] at December 29, 2005 04:55 PM

I wouldn't even call them debates. It's two sides restating their own positions ad infinitum, each oblivious to the other.

Posted by: Eric [TypeKey Profile Page] at December 29, 2005 05:10 PM

I couldn't care less about who goes or stays at Paramount.

Will it result in better movies is the only relevant question to me.

Posted by: grandcosmo [TypeKey Profile Page] at December 29, 2005 05:19 PM

I like the fantasy baseball analogy. That is actually a fun way to pick who stays and who goes.

Posted by: joefitz84 [TypeKey Profile Page] at December 29, 2005 05:32 PM

Do I see the hidden hand of Rick Sands? As a Miramax VP he orchestrated Miramax's hard-right turn after 9/11/2001. Might have even convinced Disney to sack the Weinstein brothers. Sands bailed out just in time to land at . . . DreamWorks.

As Paramount is owned by Viacom -- whose chairman loves Bush -- I wouldn't be surprised if Sands stays on and steers Par further to the right.

Posted by: Chucky in Jersey [TypeKey Profile Page] at December 29, 2005 05:40 PM

Chucky, you really got to let it go. The right wing conspiracy stuff? Relax.

Posted by: joefitz84 [TypeKey Profile Page] at December 29, 2005 05:47 PM

It's real funny. Bush is the only guy to get savaged for being dumb and stupid than three days later he's praised as genuis and cunning enough to sandbag all Liberals into buying what he's selling. What's that say about them? They're hoodwinked by a guy that savage as a box of rocks? The public really wants people like that in charge. People who get hoodwinked by retards.

Posted by: Sanchez [TypeKey Profile Page] at December 29, 2005 05:49 PM

Rick Sands was one of the DWers who was kicked to the curb.

Posted by: David Poland [TypeKey Profile Page] at December 29, 2005 06:18 PM

Julian is still PISSED about it.

Posted by: Sanchez [TypeKey Profile Page] at December 29, 2005 07:10 PM

goldplated watches? Cheapskates.

A starf*cks card lasts longer (and it don;t turn green).

Posted by: Lota [TypeKey Profile Page] at December 29, 2005 09:38 PM

they really give out gold watches as retirement gifts? i thought that was only in the movies.

Posted by: bicycle bob [TypeKey Profile Page] at December 30, 2005 05:26 AM

This is what happens when companies merge or buyout another. Good old fashioned American capitalism. Pink slips are never a good thing but sometimes they are needed. People land on their feet. They always do.

Posted by: BluStealer [TypeKey Profile Page] at December 30, 2005 08:33 AM

Ha, every time Dave posts about people getting laid off there's a "rah rah capitalism" reply. I was wondering how long it would take.

Posted by: James Leer [TypeKey Profile Page] at December 30, 2005 08:53 AM

Yeah, it's always 'good old fashioned American capitalism' when it's happening to someone else.

Posted by: jeffmcm [TypeKey Profile Page] at December 30, 2005 09:16 AM

communism called. they want jeff leer back. do u guys call each other up to make sure u follow up back to back whenever the convo veers into anything other than movies?

Posted by: bicycle bob [TypeKey Profile Page] at December 30, 2005 10:54 AM

Would you force a company to keep every employee it ever hired even if they weren't productive or hurt the companies bottom line? Because that's what it sounds like here.

I can understand the hatred of big business but you should take a few economics classes before you go flying off the handle about layoffs especially at companies the size of Paramount. That is how the economy works. If you aren't productive you shouldn't be employed. If you have issues with that there is always work in China.

I've been laid off before and it's not a joy. But you have to understand that's the business world. You have to be indispensible. I am sure these higher ups who are losing their jobs because of the merger have other options and back ups or they wouldn't be where they are today.

Posted by: Rufus Masters [TypeKey Profile Page] at December 30, 2005 11:05 AM

I wish every worker made a billion dollars and had the same work hours and the same benefits and the same attitude and we all shared and shared alike. I'd say wake up but it's probably a lost cause.

There's a reason you go to school, work hard, study, have ambition, show effort, and strive to go up the ladder and be a success. And it's not because everyone makes the same and earns the same. It's called freedom.

Posted by: BluStealer [TypeKey Profile Page] at December 30, 2005 11:14 AM

If you're worried about losing your job?

Then run the company and be the one making the decisions. Easy enough. I'd fire JeffMCM in about two seconds just because.

Posted by: Josh [TypeKey Profile Page] at December 30, 2005 11:20 AM

The two funniest remarks here:
BiBob making fun of people backing each other up on their comments...who would ever do that?
'run the company...easy enough' Yes, easy enough indeed.
No worries, Josh, you can't preemptively fire me, I preemptively quit.

Posted by: jeffmcm [TypeKey Profile Page] at December 30, 2005 11:37 AM

From what I've learned about this blog is to run away anytime a Liberal starts sprouting off on anything other than film. I'd rather gnaw my hand off than listen to it.

Posted by: Terence D [TypeKey Profile Page] at December 30, 2005 12:24 PM

The unpleasant truth here is that the film studio business is a shrinking one. Many of the people who are being laid off here will have to either leave this industry or will take jobs at smaller companies and will displace other people who will be forced to leave this business.

Yes, this is the nature of capitalism. And some of the choices that are displacing people who have invested decades at Paramount are good calls. But still... it is hardly something to be blithe about. The people who will most harshly be affected are the ones who are actually working for a living and not the ones in charge who play the endless game of failing up and pass the pipe.

Maybe we ought to start a season of America's Net Top Instigator and every week, we can kick someone off the blog.

"This Week's Challenge: Get The Dalai Lama To Throw Hot Liquid In Your Face."

Posted by: David Poland [TypeKey Profile Page] at December 30, 2005 12:40 PM

Seriously. Coming to a film blog and throwing around the word "liberal" like an epithet is like going to an ice hockey game and trying to use "Canadian" as a slur. A bit pointless.

Posted by: James Leer [TypeKey Profile Page] at December 30, 2005 12:53 PM

Every industry goes through this. It's the nature of the beast.

Posted by: Bruce [TypeKey Profile Page] at December 30, 2005 12:55 PM

Sure it's to be expected. That doesn't mean we have to just sit back and be glib about it.
There are a lot of people whose worldviews can't stand any disruption and take any challenge to the status quo personally.

Posted by: jeffmcm [TypeKey Profile Page] at December 30, 2005 01:44 PM

We all supposed to picket out in front of Paramount because some people are going to lose their jobs?

I feel bad for them, the timing sucks and I think they'll be alright in the end. Working for Dreamworks you knew your company was in play for the past two years. This isn't a shock to the system. Hopefully, they kissed the right people's butts.

Posted by: Mark Ziegler [TypeKey Profile Page] at December 30, 2005 01:59 PM

I don't really feel too sorry for studio executives. Yeah they're people and it's going to be rough on them, my father was fired from his job when I was a kid and it took a toll on us for a while. But imo the studio system is bloated with too many executives and that more than anything is the cause of the relative poorer quality of films we've been seeing over the past decade.

BTW Dave, you read that guest editorial piece in the Wall Street Journal on Thursday poking holes in the Slump bigtime? It seemed like something that'd be right up your alley.

Posted by: PastePotPete [TypeKey Profile Page] at December 30, 2005 10:10 PM

To be honest, I'd be sad about this... If it was happening to any other studios besides Paramount & Dreamworks (MGM already is in the bag). Talk about a much needed kick in the behind.

At least I can do a little dance from the news about Rick Sands. Sheesh, what a schmuck.

Posted by: AgentArc [TypeKey Profile Page] at December 30, 2005 10:13 PM

Paramount's been is disarray ever since the departure of Lansing and DW has been continually haphazardly managed. And with the WB cutting 400 recently, I don't think either organization was particularly shocked by added layoffs. But still, not exactly a great way to bring in the new year.

Posted by: palmtree [TypeKey Profile Page] at December 30, 2005 10:32 PM

I just want to post here so that every post listed on the front page is either from me or Kamikaze Camel. Rock on!

Posted by: jeffmcm [TypeKey Profile Page] at December 31, 2005 01:04 AM

I just want to post here so that every post listed on the front page is either from me or Kamikaze Camel. Rock on!

Posted by: jeffmcm [TypeKey Profile Page] at December 31, 2005 01:06 AM

Thanks. At least the Camel has a point when he posts.

Posted by: Angelus21 [TypeKey Profile Page] at December 31, 2005 09:58 AM

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