Can the NUJ protect jobs and pay in the current climateYes we can! An emergency meeting of M/FoCs in the main provincial newspaper groups has met in London to organise in defence of members in the face of unprecedented attacks on jobs and pay.
The meeting set out a strategy of coordinated action, lobbying at parliamentary and local council level, recruitment drives, local action where offices are closing and developing campaigning material to be used locally.
It called on all members to build towards a jobs summit on January 24th, which will highlight what is at stake and what should be done. Judging from the media coverage of the M/FoCs organising meeting, there is huge interest in any attempt to stand up and fight against the decimation of the provincial press, which has seen seen 500 jobs lost, 30 offices closed and 50-plus titles axed since June.
The message the union wants to get across is that the newspaper industry is not like America’s car industry, which is in genuine trouble. They have been turning in healthy profits for years, and continue to do so. The latest cuts are no different to the cuts we have seen over recent years -- aimed at bumping up shareholders returns in the short term, regardless of the damage being done to the quality and viability of the product.
- In Glasgow, staff at The Herald, Sunday Herald and Evening Times are being told to reapply for their own jobs as Newsquest seeks to cut the number of journalists from 250 to 210. The decision comes at a time when the union is already in dispute at these titles over the unacceptable stress levels. The serious implications of what Newsquest is doing with these flagship Scottish titles has been raised in the Holyrood parliament by many SMPs, including the Scottish First Minister Alex Salmond.
- In York Newsquest snatched away a 3% pay rise that had already been agreed as part of a settlement of a strike over low pay earlier this year, declaring that it had decided to impose a pay freeze until next April. The York Press and associated titles brought in £1 million profit last year. The matter was raised at a full meeting of the City of York Council, by Richard Foster, an NUJ member and sub-editor at The Press. The chapel is now balloting for action.
- Job cuts and pay freezes are taking place in other newspaper groups in Newcastle and Darlington and have prompted similar ballots for action
Vast profits
NUJ General Secretary Jeremy Dear said the current round of cuts and freezes amounts to “grand larceny and reckless cost-cutting.”
“Instead of greater investment in quality online content, more localised coverage and strengthening editorial teams, for years the vast profits of local newspapers have been largely shovelled in to shareholders pockets, directors’ pay rises and executive pension pots, amidst reckless borrowing and poor investment decisions. Now the very people who plunged the industry into this crisis by demanding such excessive profits believe the solution is to axe journalists and freeze pay… It is a false economy to put the ability to deliver scoops, quality content and strong local coverage in jeopardy.”
Empty gestures
In an absurd effort to pave the way for cuts and freezes in Newsquest titles, Craig Dubow, head of the parent group, Gannett, has had a memo circulated to all staff informing them of his decision to take a 17% pay cut on $1.2 million salary. (No mention was made of the additional $6.3 million that a company spokeswoman admitted he received in bonuses, stock awards, stock options and deferred compensation interest earnings -- whatever they may be.)
After hearing of the cash-stricken plight of the Chief Executive of Gannett, the Oxford branch voted to airmail him an emergency tuna and sweetcorn sandwich left over at the end of the November meeting.
“Some crumbs of comfort now you are on the breadline” was the message that accompanied the Oxford branch emergency sandwich aid.
Gannett’s millions in facts and quotes
- Gannett UK 2007 operating profits: £478.7 mn
- Parent company Gannett has announced it will pay a dividend of 40 cents per share in January. This is the same level it has paid since October 2007, which was a 29% hike on what was already its highest ever dividend rate.
- Overall Gannett has returned more than $6.2 billion in value to shareholders since 2000.
- Paul Davidson’s 2007 compensation (including stock options): $2,367,222
- Total directors’ ‘emoluments’ for 2007 were £885,000, an increase of 12.5% on 2006.
In the words of CEO Craig Dubow, 2007 annual report:
“To me, return to shareholders is central to any discussion about use of free cash flow.” “Shareholders are always our top priority. The 29% dividend increase in July brought to $1.60 our annualized rate of return per share. It was the 39th increase since Gannett became a public company.... We remain committed to returning more value to shareholders.”
Cuts
Confirmed 87 editorial jobs cuts announced or posts not filled in the last six months.
- Bolton: 5 editorial jobs
- Bradford: 8 editorial jobs
- Brighton: 10 editorial jobs; 1 title closed
- Bucks Free Press: 5 editorial jobs
- Hampshire: 14 editorial jobs
- London (East): 12 editorial jobs
- Darlington: 23 editorial jobs; five offices closed
- York: 10 editorial jobs
AW 2008-12-01
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