Union demands CRTC step in to prevent layoffs at CTV
Source : Halifax Chronicle Herald
November 19, 2008
The Canadian Press
The CRTC should intervene immediately to stop the layoffs at CTV, Canada's largest media union said today.
"The abandonment of communities in Northern Ontario and cost cutting at other locations by Bell/Globe-Media should prompt the CRTC to reconsider the terms of license for CTV," said media vice president Peter Murdoch, of the Communications, Energy and Paperworkers Union, in a news release.
Layoffs are expected at a number of CTV stations according to a memo CTV staff received Tuesday.
"CTV was quick to spout commitments to local programming in order to convince the CRTC to renew its license for seven years. Now it appears the commitment has barely lasted several months," Murdoch said.
"Media empires should not be allowed to reduce long-term commitments simply because of a dip in the economy. It is incumbent upon the CRTC, to protect the public's interest, to demand that CTV live up to its license commitments, and rescind these layoffs."
CTV Inc. will lay off some employees, freeze hiring and cut spending to cope with "sharp decreases" in advertising as the television industry braces for a deep slump.
CTVglobemedia Inc. president and CEO Ivan Fecan said the current financial and economic downturn is "one of the biggest challenges we've ever faced."
Fecan said advertising spending has slumped, and some of the TV network's biggest customers are facing potential bankruptcy.
"After much careful and thoughtful consideration, we have concluded that it is no longer possible to maintain the current 'status quo' of our company's operations," he wrote.
He said there will be a hiring freeze across all of CTVglobemedia's television properties, a freeze on travel and entertainment spending and "some layoffs" as departments streamline operations.
"New projects (and) unspent capital plans will be revised, delayed or halted," he added.
The decision comes after rival Canwest Global Communications Corp. (TSX:CGS) said last week it was cutting 560 jobs, including 210 at Global Television and other TV operations.
In addition to the CTV network, CTVglobemedia owns the Globe and Mail and CHUM Radio. It also has a stake in Maple Leaf Sports and Entertainment, owner of the Toronto Maple Leafs, Toronto Raptors and Air Canada Centre.
CTV has 27 conventional stations across the country and has interests in 35 specialty channels, including sports channel TSN. CHUM operates 35 radio stations.
CTVglobemedia is owned 40 per cent by the billionaire Thomson family's private Woodbridge Co., 25 per cent by the Ontario Teachers' Pension Plan, 20 per cent by Torstar Corp. (TSX:TS.B) and 15 per cent by BCE Inc. (TSX:BCE).
© Halifax Chronicle Herald
The CRTC should intervene immediately to stop the layoffs at CTV, Canada's largest media union said today.
"The abandonment of communities in Northern Ontario and cost cutting at other locations by Bell/Globe-Media should prompt the CRTC to reconsider the terms of license for CTV," said media vice president Peter Murdoch, of the Communications, Energy and Paperworkers Union, in a news release.
Layoffs are expected at a number of CTV stations according to a memo CTV staff received Tuesday.
"CTV was quick to spout commitments to local programming in order to convince the CRTC to renew its license for seven years. Now it appears the commitment has barely lasted several months," Murdoch said.
"Media empires should not be allowed to reduce long-term commitments simply because of a dip in the economy. It is incumbent upon the CRTC, to protect the public's interest, to demand that CTV live up to its license commitments, and rescind these layoffs."
CTV Inc. will lay off some employees, freeze hiring and cut spending to cope with "sharp decreases" in advertising as the television industry braces for a deep slump.
CTVglobemedia Inc. president and CEO Ivan Fecan said the current financial and economic downturn is "one of the biggest challenges we've ever faced."
Fecan said advertising spending has slumped, and some of the TV network's biggest customers are facing potential bankruptcy.
"After much careful and thoughtful consideration, we have concluded that it is no longer possible to maintain the current 'status quo' of our company's operations," he wrote.
He said there will be a hiring freeze across all of CTVglobemedia's television properties, a freeze on travel and entertainment spending and "some layoffs" as departments streamline operations.
"New projects (and) unspent capital plans will be revised, delayed or halted," he added.
The decision comes after rival Canwest Global Communications Corp. (TSX:CGS) said last week it was cutting 560 jobs, including 210 at Global Television and other TV operations.
In addition to the CTV network, CTVglobemedia owns the Globe and Mail and CHUM Radio. It also has a stake in Maple Leaf Sports and Entertainment, owner of the Toronto Maple Leafs, Toronto Raptors and Air Canada Centre.
CTV has 27 conventional stations across the country and has interests in 35 specialty channels, including sports channel TSN. CHUM operates 35 radio stations.
CTVglobemedia is owned 40 per cent by the billionaire Thomson family's private Woodbridge Co., 25 per cent by the Ontario Teachers' Pension Plan, 20 per cent by Torstar Corp. (TSX:TS.B) and 15 per cent by BCE Inc. (TSX:BCE).
© Halifax Chronicle Herald
