300 jobs to go
ONE in 4 jobs to be lost following takeover by multi-national.
Wednesday 14 September 2016
The new owners of most of Central Queensland’s newspapers (not this one) have announced it will be sacking one in four people.
The positions will be lost from key editorial and “back office” positions, and follows a decision last month by the newspapers former long-term owners APN to abandon Central Queensland and enter into a firesale of more than 60 titles for about $33 million to global media company News Corporation.
However, employees at the Mackay Daily Mercury, Rockhampton Morning Bulletin, CQ News, Central Telegraph and others, will remain on tenterhooks because the cuts won't take effect until News Corporation gets approval from the Foreign Investment Review Board to finalise the deal with APN.
The impact of the mining slowdown has filtered through to all corners of the local economy over the last financial year with APN News & Media announcing a $260 million loss over that period.
While the results reflect problems in the advertising market across both their print and outdoor business Australia wide - a failure to adapt to new technology, slashed investment in quality journalism and collapsing readership, have probably played a bigger part in the performance of their Newspaper segment ARM.
Interestingly, while earnings for ARM nearly halved in the six months to June, total revenue was relatively steady at around $89 million a fall of just 6 percent.
It remains unclear how News Corporation plans to turn the local newspapers around. However, morale among staff is at an all-time low following the news.
In February, despite strong support from the local community for more than 30 years, the company closed the Blackwater Herald Newspaper.
The future of Emerald’s local newspaper, the CQ News, remains in doubt after management announced they were slashing the number of printed editions by half in March.
Also, a significant quantity of news in all their local papers is now being outsourced from the South East Corner of Queensland as newsrooms in Mackay, Rockhampton, Biloela and Emerald are reduced.
It is unclear whether there will be further job cuts.
[Eds Note: In every period of great disruption there is great opportunity.
We have re-imagined regional news and are looking for investors to help us expand.
If you think there is a good business in letting regional based Australians know what is happening in their communities in the future - like we do - give Angus Peacocke a call to discuss investing on 07 4921 4333]