Business · Companies · 1 day ago
Telegraph owner weighs cuts of up to 100 newsroom jobs
Axel Springer, a German media company, is considering cutting 50 to 100 jobs in the Telegraph’s newsroom.
The Telegraph includes the Daily Telegraph, the Sunday Telegraph and an online news operation in the UK.
Axel Springer bought the group for £575m earlier this year, after three years of uncertainty over its ownership.
The company had promised to invest in the Telegraph and make it a leading centre-right outlet in the English-speaking world.
Consultants reviewing the group’s finances have reportedly proposed cuts to its existing news operation, alongside projects such as price comparison and healthcare services.
The plans have raised questions among staff about how job cuts fit with the promised investment, including plans to expand the Telegraph’s US operation.
A staff consultation is expected, possibly before Christmas, but no redundancies have been announced.
Axel Springer is examining proposals to cut between 50 and 100 jobs at the Telegraph’s newsroom.
A consultation is expected to propose cuts to a significant proportion of editorial staff, possibly before Christmas.
The plans come months after Axel Springer said it would invest in the Telegraph and make it a leading centre-right media outlet.
No redundancies have been announced to staff, and the Telegraph Media Group declined to comment.
The Telegraph’s latest accounts showed a £4m loss last year, but an underlying pre-tax operating profit of about £48m.
- Who
- Axel Springer, the Telegraph’s owner, is examining proposals to cut newsroom jobs.
- What
- Between 50 and 100 journalists could be made redundant.
- When
- A consultation may happen before Christmas. No specific date is stated.
- Where
- The Telegraph newsroom; the titles include the Daily Telegraph, the Sunday Telegraph and its online news operation.
- Why
- Consultants have examined the titles’ financial health. The sources do not state a definitive reason for the proposed cuts.
This story does not have two clearly opposing sides.
A significant proportion
The path to growth is not to cut jobs
They’re still going to need to hire people in the States if they’re going to make any sort of push there, but staff haven’t been told where that money is going to come from.
Axel Springer bought the Telegraph for £575m.
Mathias Döpfner was said to have stated that the company could not cut its way to growth.
A forthcoming consultation is likely to propose cutting a significant proportion of editorial staff.
- Potential newsroom cuts
- 50 to 100 journalists
- Purchase price
- £575m
- Telegraph titles
- Daily Telegraph, Sunday Telegraph and online news operation
- Latest revenue
- £273.2m
- Latest underlying pre-tax operating profit
- About £48m
Sources
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