The digital age is forcing many changes and causing massive retrenchments.
Media in turmoil: News Limited shake-up
Australia’s media landscape looks set to be rocked for a second time this week with News Limited poised to announce it is slashing jobs in a massive restructuring of the way it delivers news.
The announcement, expected later today, comes after Fairfax announced on Monday it would axe 1,900 staff, close two major printing presses and downsize its flagship newspapers to tabloids.
The News Limited job cuts are likely to come as no surprise to most of its 8,000 staff, after weeks of rumours that hundreds of lay-offs would be made at the Australian wing of Rupert Murdoch’s News Corporation.
Follow our coverage of News Limited’s announcement and the fallout:
10:15: Meanwhile, take a look at last night’s 7:30 report examining the backlash against Gina Rinehart’s move to up her stakes in Fairfax:
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10:07: ABC News Online’s chief political correspondent @Simon_Cullen tweets that if News Limited’s bid for Consolidated Media is successful “it would own 100% of FOX Sports Aust, and 50% of Foxtel”.
10:00: ABC business editor Peter Ryan says News Limited is expected to announce its restructure this afternoon, which could see as many as 1,000 staff made redundant.
He says a key feature of the shake-up will be the $30 million acquisition of the highly successful Business Spectator and Eureka Report websites founded by former Fairfax editor and ABC identity Alan Kohler.
Peter Ryan also examines the continuing fallout from the Fairfax announcement:
9:58: The Australian is reporting that James Packer is supporting News Limited’s bid for Consolidated Media.
9:52: @SimonPalan: “News Limited has now also notified the ASX of its bid to take over Consolidated Media. News says the bid is valued at $1.97b.”
9:49: News Ltd’s move to purchase Consolidated Media Holdings is likely to strengthen its dominance in the pay-television industry.
9:45: @BusinessSpec: “News Ltd has offered $3.50 a share for ConsMedia”.
9:30: Reports that News Limited has told the ASX it intends to buy James Packer’s stake in Consolidated Media Holdings.
It is also believed that News Ltd will announce it has bought the business news website Business Spectator, run by ABC financial reporter Alan Kohler.
Earlier: Writing in News Limited’s flagship The Australian on Monday, Teresa Ooi and Media writer Sally Jackson outlined what was likely:
“News Limited, publisher of The Australian, plans this week to unveil details of the wide-ranging corporate restructure it first flagged in February, with chief executive Kim Williams and group editorial director Campbell Reid expected to hold a series of briefing meetings around the country, which will be followed by a public announcement at some point.
“Details of the transformation program, anxiously awaited by News employees, were tipped to be released weeks ago but were delayed several times as the company finalised the changes, which include introduction of seven-day rosters for its capital city newspapers, streamlining of its production, digital and printing operations and hundreds of redundancies.”