Seven to make $25m worth of job cuts in two year cost cutting plan
Seven West Media will make $25m in recurring annualised cost savings through ‘headcount reductions’ as part of plans to make $105m worth of savings over the next two years, CEO Tim Worner told shareholders this morning.
Speaking at today’s Annual General Meeting, Worner said the network will also save $50m from the roll off of major sports rights which were dubbed “not sustainable”.
Worner will return its focus to delivering value to shareholders
And after “reducing the headcount”, I assume Worner will get a nice little bonus
Sadly, I think you’re bang on @Adam – it’s bit like when banks rationalise, and sack 1,000 tellers and backroom staff, instead of 20 executives.
I don’t imagine the ‘talent’ or the C-Level at 7 will take any hits…but lots of producers, make-up artists, and junior peeps will be either forced onto contracts or be pushed out…
@ Adam of course, that’s the way it goes. Greg Hywood has scored himself squillions in bonuses over the years for cutting massive costs out of the business (ie sacking a big % of his workforce), or as he likes to call it: “innovating” and “transforming”
Assuming the average wage (cost to company) is say $70,000 excluding those top brass of course – this means 350 people will need to go by early next year at Seven !!!!
So much for ‘saving jobs’ after media ownership reforms.
Media reform wasn’t ever about saving jobs unfortunately Denise
Sadly – I am well aware of that. But please don’t start me off Jeremy – I could go all day & long into the night on the sorry process & outcome of media ownership reform 🙁
Clear the exec team, over paid and they constantly under deliver.
You’re a content company now, and yet year after year you reduce your ability to produce content in the sad hope you could be an ad company again. You can’t, you gave all that away to Google and Facebook because you don’t know what you’re doing.
18 months and 7 will have gone the way of 10, and those hopeless execs will all get a 7 figure payout.
Good luck to all those that will lose their jobs in the next 12 months you really don’t deserve to.
Considering that Network 7 content still performed well this year it’s surprising that their financials have heavily faltered.
Do you think that it could be partly attributed to the 50%+ TV buyers who are women under the age of 30? These women were surely appalled at how Seven handled the debacle this year – no matter what the Executive team says.
I guess Seven forgot about the large contingent of women making decisions on the media schedule. It certainly made me think twice about funding Worners fat salary.
@zoe Regarding the jobs cuts at seven West media, Seven west media Gave an uncharacteristic heads up to staff. And, left it at that. For reasons now believed that the redundancy news will be unsettling enough, waiting to see how many people will leave on their own accord so they don’t have to pay out those poor souls who will be living week to week unlike the CEO whose measly pay cut still sees him with millions, millions that would save 20 jobs if his wage dropped to a 1.million and yet the ones that keep the programs airing, get peanuts.
Nice looking out for your worker’s channel seven. shame.