Time Warner Inc.’s Warner Bros. Entertainment plans to eliminate about 800 jobs, or 10 percent of its staff, in response to the U.S. recession and deteriorating business outlook.

Warner Bros., the top studio in box-office sales last year, also will hire contractors to run parts of its U.S. management information systems and accounts payable, the Burbank-based company said Tuesday.

The film and TV studio, which employs 8,000 people, asked department heads to come up with ways to cut budgets 10 percent, a person familiar with the plans told Bloomberg. Parent Time Warner said on Jan. 7 it will report its first annual loss in six years, after writing down cable-television, publishing and Internet assets by $25 billion. Chief Executive Officer Jeffrey Bewkes is splitting off the cable systems.

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