Tag Archives: chief executive

Major MEN changes ‘are designed to protect the business and its journalism for the future,’ says GMG Regional Media statement

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Following the news that 150 jobs – 78 of those journalists’ – will be cut in GMG Regional Media, this statement has been released from the group:

“MEN Media, publisher of the Manchester Evening News and weekly titles across Greater Manchester, has today briefed staff on a range of proposed changes to the business.

“The local and regional press is facing the worst conditions in living memory as the economic downturn exacerbates and accelerates longer-term structural changes in the behaviour of advertisers and readers.

“The viability of local and regional titles is under threat due to steeply falling revenues that we do not expect to return to previous levels even when economic conditions improve. Publishers therefore need to find a sustainable new model if they are to survive.

“The major changes announced at MEN Media today are designed to protect the business and its journalism for the future through a new model with significantly lower fixed costs.

“By far the largest cost within the business is salaries, and while we have examined every option short of job losses, it has become clear that it is impossible to bring stability to MEN Media without substantially reducing the number of people we employ. We expect approximately 150 positions to be made redundant across MEN Media.

“While we will seek volunteers for redundancy wherever possible, we anticipate that compulsory redundancies will be unavoidable. Those people affected will be offered significantly enhanced severance terms.

“MEN Media has reviewed all aspects of its business. In addition to salaries, we have targeted various other costs and looked at how we can
improve in areas such as advertising sales, working practices and editorial systems.

“The proposed changes announced today are summarised below:

  • Approximately 150 positions across all functions and disciplines to be made redundant within MEN Media. This includes 78 journalists across 23 titles.
  • One consolidated editorial team for the MEN and weeklies at Scott Place in Manchester, working across MEN Media’s various titles and websites.
  • All branch offices apart from Stockport will be closed in the coming months. Offices in Accrington, Ashton, Macclesfield, Oldham, Rochdale, Rossendale, Salford and Wilmslow will be closed.
  • Reporters will continue to work their patches, but no longer from a local office. There will be increased remote working to support this.
  • Investment in a new editorial system common to all titles, and training for all users. The new system has improved web and multimedia capabilities, and will enable journalists to work across MEN Media’s different outlets.
  • New layout and design for weekly titles.
  • Central section of common pages for the weeklies, drawn from the MEN’s leisure/entertainment content.
  • Greater sharing of content between the MEN and weekly titles.
  • A new house agreement to cover the new editorial department.
  • A revised pay schedule for journalists based on the current weeklies pay schedule. Journalists who are paid in excess of the schedule will have their pay ring-fenced and protected.
  • Fewer free copies of the MEN and weekly titles distributed.
  • Reduced pagination of the MEN.
  • Revamped advertising sales operation with greater focus on growing new business and selling multimedia solutions.
  • Better targeted advertising sales strategies, with improved use of customer data.”

Mark Dodson, chief executive of GMG Regional Media (parent company of MEN Media), said:

“MEN Media’s role is to produce great journalism for our readers, users and viewers in Greater Manchester. If we want to continue to be able to do this, we need to find a new, sustainable, lower-cost business model to support it. The economic viability of local and regional newspapers is under very real and imminent threat.

“The decision about job losses has been a very difficult one to make, and I deeply regret that it has been necessary. Nonetheless, I do believe this is the right decision for MEN Media’s future and for the majority of staff who will remain with the company.

“There is a successful future for local and regional journalism in the commercial sector, but we need to protect our businesses now to give ourselves the best chance of reaching it.

“This is a worrying time for everyone working in the local and regional press. Some argue that our industry has no future. I think this is completely wrong – people still want local and regional journalism, and advertisers want to reach those people.”

Following up on Guido Fawkes’ Scottish media speculation

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Earlier this week Guido Fawkes published what seemed to be a segment of the minutes from a North Lanarkshire council meeting. The original PDF link on Guido’s blog no longer seems to work. The council told Journalism.co.uk that this information about appointments is always made public (see end of post).

Guido speculates who the people were on the shortlist for the position of head of corporate communications and marketing at the council. Could it be that five senior figures in Scottish journalism were up for the role?

FleetStreetBlues suggests – probably based on the minute – who the final candidate was, while this report from February 1 over on AllMediaScotland suggested the new head is Sunday Herald deputy editor Stephen Penman. (Update – Deputy editor of the Scotland on Sunday, Tom Little, has now confirmed to Journalism.co.uk that he was offered the job but turned it down, and Stephen Penman has confirmed that he will be taking up the position in April.)

North Lanarkshire Council supplied Journalism.co.uk with this statement from Gavin Whitefield, chief executive of North Lanarkshire Council:

“It is this council’s practice to ensure transparency and accountability in all aspects of our business – including the recruitment process for Chief Officer posts. For that reason we have always included the names of shortleeted [sic] job candidates, and of successful applicants, in the minutes of the Appointments Committee, which deals with Chief Officer appointments. Although we have not received complaints about this practice in the past, we do keep our processes under review in response to comments and experience.”

Update: Journalism.co.uk asked the council why, if the material had been intended for publication did the link not work? “In light of the concerns raised in relation to this post, we consider it appropriate to remove the minute from the council’s web site and we will review our practice for the future. The web site is being amended today and the appropriate section is therefore temporarily unavailable. It should be available again later today,” Gavin Whitefield, Chief Executive, said.

Journalism.co.uk will try and contact the relevant parties involved for more information.

Johnston Press Release: Board changes at Johnston Press

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Ian Russell to succeed chairman Roger Parry from March 2009.

Simon Waugh to leave board from January 30 following appointment as chief executive of the new National Apprenticeship Service.

Full release at this link…

Channel 4 (part 1): Station plans to focus more on regional content

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Following up on yesterday’s Ofcom round-up, here are further reports from the House of Lords, where Channel 4 chief executive, Andy Duncan spoke at a Communications Committee hearing.

  • Channel 4 is unlikely to move away from London in a bid to save money, although it is keen to expand its influence around the UK. London was the centre of the UK media industry, Andy Duncan explained to the committee. Savings made from any move were likely to be ‘negligible’ at best.
  • Although Channel 4 is already active in places such as Glasgow, Duncan admitted the station had relatively little presence in Scotland and other parts of the UK, outside England.
  • The station’s CEO said that they were adept at creating good quality ‘one-off’ shows. The challenge was to create more opportunities for ‘returning’ series based in the region.
  • Certain Channel 4 IP, such as ‘Dispatches’ and ‘Cutting Edge’ already allow for the allocation of programming and resources focused in and around the country.

Ofcom’s PSB review – a round-up

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In its public service broadcasting (PSB) blueprint, UK industry regulator Ofcom made a series of recommendations for Channel 4, the BBC and ITV – there’s a video explaining the report on Ofcom’s YouTube channel, but for those of you wanting something more textual here’s our round-up:

Key points:

  • There needs to be alternative public services to the BBC – echoing Lord Carter’s comments last week
  • More choice for regional news consumers
  • Retention of the licence fee and no top-slicing
  • News content for ITV and Five, but limit level of public service commitments

Recommendations were given for each of the UK’s broadcasters in turn, but given news this week of potential mergers with Five or the BBC and yesterday’s pledge to invest £500 million in regional production and programming, here’s a synopsis of the points directed at Channel 4:

  • “A new organisation, with public purposes at its heart, should be established; Channel 4 is well-placed to be central to this.” This could potentially be funded by a chunk of the £130m-a-year BBC licence fee digital switchover surplus.
  • Full range of digital content and news and programmes from outside of London needed
  • Merger with BBC Worldwide, Five or other organisations not ruled out, but “[P]artnerships should complement market provision and ensure economic sustainability, accountability, choice and competition. New governance and accountability arrangements would be essential.” (Report from Telegraph.co.uk, says Ofcom chief executive Ed Richards said there is ‘more of a tension’ surrounding a possible deal with Five)

Following the regulator’s market impact assessment late last year, which formed part of the BBC Trust’s decision to reject local online video plans, the report also reviewed PSB in the nations and regions:

  • Potentially good news for local newspapers in England (welcomed by the Newspaper Society) – “Ofcom believes that the Government should plan for an alternative way of securing regional news for the devolved nations and English regions from 2011”.
  • Plans for ITV and BBC to share some resources and infrastructure in England will be reviewed – in particular, how sustainable this model is.

The National Union of Journalists (NUJ) has expressed concerns over Ofcom’s recommendations for ITV Local – suggesting a deal had already been agreed between the channel and regulator rendering a consultation on cuts to its local news provision meaningless.

“Ofcom has presented its proposals as a framework for saving public service broadcasting, but the reality is that this report has given ITV the go-ahead to cut its local output. Looking for where to play Starburst slot at Mostbet online casino , go to the official website of the Starburst Mostbet game https://starburst-game.com/en/play-starburst-mostbet It means fewer local news programmes and fewer local stories. As hundreds of editorial staff walk out of the door, they’ll be taking the links between ITV and local communities with them. That’s hardly in the interests of citizens and viewers,” said a statement by the union.

Ed Richards, Ofcom chief executive, gives his thoughts on the review in this Comment is Free article and on BBC Radio 4’s Today programme.

US-based Tribune files for bankruptcy but continues operating

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More on this tomorrow, but just to link today’s (Monday) news that the Tribune Co. has filed for Chapter 11 bankruptcy protection, as reported here by the group’s own newspaper the LA Times, as well as numerous other news sources. The group also owns KTLA Channel 5, the Chicago Tribune, the Baltimore Sun as well as nine other newspapers and 22 other television and radio stations across the country. 

The group’s chief executive Sam Zell said in a statement (via CNNmoney.co.uk):

“Factors beyond our control have created a perfect storm – a precipitous decline in revenue and a tough economy coupled with a credit crisis that makes it extremely difficult to support our debt.” 

“We believe that this restructuring will bring the level of our debt in line with current economic realities, and will take pressure off our operations.” 

The groups says it is able to sustain operations while it restructures. Here, Editor & Publisher looks at concerns inside the newsroom.

Excerpts from Sam Zell’s memo can be read here.

Trinity Mirror pay freeze – Sly Bailey’s email to staff

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Trinity Mirror has implemented a company-wide pay freeze affecting all staff (that’s journalists and non-journalists employed by the publisher).

Below is the email sent by chief executive Sly Bailey to staff:

Company Announcement

Please follow the link to see the letter being sent today to all staff.
19 November 2008

Dear Colleague

We have all seen the severe impact of the economic downturn reported in the media on a daily basis.  Unfortunately there doesn’t appear to be any sign of an improvement for the foreseeable future and there are indications that it could get worse before it gets better.  What is clear is that the gravity of the challenge facing our business is unlike anything we have seen before.

As a consequence of this economic climate, all parts of Trinity Mirror have seen revenues come under severe pressure as advertisers have significantly reduced their spending.  In addition, our readers are also looking to curtail their spending with a consequential impact on our circulation revenues.

This in turn is affecting our financial performance, and in particular the cash generated by the business.  As previously communicated to you and the financial community, we anticipate that our profits will fall in 2008, with a further decline in 2009. Whilst we expect to remain profitable going forward, the fall in cash generated will adversely impact our ability to comfortably fund ongoing commitments such as interest payments on our borrowings, taxes, investment in our business (capital expenditure) and pension scheme funding.  To partially address the constraints on cash we have already cancelled the share buy back and have halved the 2008 interim dividend paid to shareholders. The final dividend will also be reviewed by the Board in February.

With our revenues considerably reduced, our priority has to be to safeguard the future of the Group.  To do this we have done much already to reduce costs in many ways.  So far this year, sadly, this has involved the announcement of almost 1200 job losses across the Group.  We have also had to announce the closure of 44 of our titles, 40 offices and our print plant in Liverpool. We do want to do all we can to minimise any further job losses.

I can also confirm now that our performance has been such that we will not be paying any bonuses relating to 2008. This goes for me; the Executive Committee and virtually all other managers.

Nevertheless we need to take further steps to protect the future of our businesses.  I have therefore decided not to hold a pay review for anyone in Trinity Mirror during 2009.  This will apply to me, the Board, all management and employees of the Group.

We all hope that the economic climate improves in 2009 and, whether it does or doesn’t, I know we will all perform to the best of our abilities. To recognise this, a special 2009-only incentive scheme will be introduced.

In January, once we have a clearer idea of trading going into 2009, the Board will agree a target for this scheme.  I can tell you that this target will be lower than the target set for profit sharing in previous years.  The scheme is designed so that it could pay up to £1,000 to each employee (before tax) and will apply to all employees across the Group (see note below). Further details of the scheme will be communicated to you in January.

I appreciate that the times we find ourselves in are some of the hardest in living memory.  I ask for your support so that we can manage our way through it and ensure the long term survival of our business.

Yours sincerely

Sly Bailey

Note:

All permanent staff will participate in the bonus scheme with the following exceptions:

Those not in receipt of contractual pay (i.e. casuals, or unauthorised absence).

Staff that have taken part in industrial action during 2009 will not be entitled to any payment.

In respect of starters and leavers:

New starters may participate and will receive payment on a prorate basis for full months’ service during 2009.

Employees who retire or leave under redundancy will receive payment on a pro rata basis for full month’s service during 2009.  This will still only be paid after auditors approval of the final results.

Staff who resign their employment before end February 2010 (the date of the scheme profit calculation) will not be entitled to any payout.

Former PPA chair Helen Alexander wins Marcus Morris Award

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Helen Alexander CBE, former chief executive of the Economist and former PPA chair, will receive the Marcus Morris Award for her ‘outstanding contribution’ to magazine publishing on Monday.

The award recognises ‘significant and longstanding contributions to the magazine publishing industry in the UK,’ a release from the PPA said.

Alexander was chief executive of the Economist Group from 1997-2008. According to the release, she was ‘pivotal’ in the growth and development of the company: in her last five years profits grew by 75 per cent.

She chaired the PPA from 2006-8 and was awarded a CBE in 2004.

SoE08: What next for local media?

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Two questions being repeatedly raised at today’s Society of Editors (SoE) conference:

  • stop talking about the nationals, how can regional media get in on the digital act?
  • what to do about the BBC – or the ‘boa constrictor’ as Mail Online’s editorial director Martin Clarke called the corporation.

Guardian Media Group chief executive Carolyn McCall told delegates that there is a model for the local press, focusing on hyperlocal.

“There will be models that emerge: investing in SEO, local press have to do that. There’s an opportunity for local press to go very local and build revenue around this. There are models, but it will have to be off a very different cost base,” said McCall.

She went on to describe Channel M – the television offshoot of the Manchester Evening News – as ‘a good model’ for local media that could be replicated in the future.

The business risks associated with online and sustainable digital business models, she added, need to be shared regionally and locally.

Regional media will have to take ‘a real hit’ on their bottom line when it comes to online to if they are to maintain standards of quality journalism, she added.

Malcolm Pheby, editor of the Nottingham Evening Post, took up the regional press’ baton in explaining how the NEP had successfully integrated its newsroom with staff now trained to treat all news stories as rolling news to be broken on the web.

But the pervading theme of the day has been the opposition from regional newspapers to the BBC’s proposed local video plans.

Pete Clifton, head of multimedia for the Beeb, did his best to defend criticisms of the plans, saying that the proposals are subject to assessments by the BBC Trust and suggesting that the BBC could forge stronger relationships with other news providers.

Still it was comments from McCall and Clarke, whose affiliate Northcliffe added its voice to the debate today, that received impromptu applause.

According to both, the BBC’s plans present unfair competition to the local press

Cue videojournalism evangelist and consultant Michael Rosenblum, who promised to teach the audience how to beat the BBC at its own game. Key to this he said is embracing technology, in particular video, wholeheartedly and not incrementally.

In response to a question from a Rotherham newspaper publisher, which currently has no video on its website, Rosenblum said there was a demand for the content and the potential for partnerships with regional broadcasters like ITV local.

Was the Scotsman right to sack Nick Clayton for blogging?

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Earlier this week Journalism.co.uk picked up an update to Twitter from Nick Clayton, technology journalist, weekly tech columnist for the Scotsman, and recently signed-up blogger for Scottish media news website Allmediascotland (AMS):

The blog post in question – published on Friday 19 – mentioned, amongst other things, Clayton’s attempts to sell his house and the following statement, which seems to have riled The Scotsman:

“All but one of the too many estate agents I spoke to told me not to bother advertising in The Scotsman. Whether you’re looking for work or a home, the web’s the place to go.”

Clayton was told he was fired by Alison Gray, editor of the paper’s Saturday magazine, just hours after the post was put live, with it cited as the key reason behind his sacking.

“I’d written a slightly controversial blog entry for allmediascotland.com suggesting that, as websites replace printed newspapers, there would be little need for physical offices and that the role of the sub-editor would disappear. I hoped it would be a little provocative, but the most I expected was to have a few virtual brickbats lobbed in my direction,” said Clayton, in a follow-up piece.

Journalism.co.uk tried contacting the Scotsman, leaving messages with Alison Gray and the office of Tim Bowdler, chief executive of Scotsman Publications, but received no response to the following:

– does the Scotsman have a set policy on staff writing for external websites? and are journalists aware of this?

– could the blog post have been amended to prevent Clayton from losing his job?

– why was Clayton sacked for his comments on the state of print advertising after the Scotsman itself ran the story ‘Johnston Press hit by house market woes as property advertising slides’ on August 28?

Admittedly there’s no disclaimer on Clayton’s AMS blog – e.g. ‘the views expressed here are my own and do not reflect those of my employer’ etc etc – but nevertheless was this the right course of action for the Scotsman to take?

There’s nothing to stop a journalist from setting up their own personal blog or contributing in their professional capacity to another blog site – either as poster or commenter – and as the trend for doing so continues to grow more popular, will publishers start setting out stricter guidelines for what staff can and can’t say elsewhere?

Reactions like this and the idea of more stringent restrictions on where journalists can write online are counterproductive: letting journalists write, comment, engage and react with colleagues and readers online can help build an online community around them and their content, driving users back to the publisher’s site.

Spilling company secrets is one thing, but Clayton’s post was hardly exposing something that’s hidden from the rest of the newspaper industry.

Clayton has told me he’s contacted the National Union for Journalists (NUJ) (who haven’t got back to me either for that matter) – and I’ll be really interested to hear its stance on this: firstly, in reaction to the immediacy of his sacking; and more importantly, as to what this means for journalists working online, in multimedia and for multiple taskmasters.