Paramount changes 2025 bonus formula, sets individual multiplier at 100%

Paramount Skydance told employees their year-end bonuses for 2025 and changed how those payouts will be calculated. The company said individual performance will not factor into next year’s Short Term Incentive Plan (STIP), a move that could reduce payouts for high performers.

Previously, STIP awards were based on base salary, individual performance, and business performance, with the bonus equal to the STIP target amount multiplied by individual and business multipliers. For 2025 the business multiplier is 94%, down from 136.7% in 2024, and the individual multiplier will be set at 100% for everyone.

Employee reviews were deprioritized after the Paramount-Skydance merger was finalized, and some lower-level staff are not eligible for bonuses. A Paramount spokesperson declined to comment. The change means high performers—those who had individual multipliers above 100% last year—will see STIP bonuses fall by at least 30%.

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