/ 20 January 2010

Naspers mulls more retrenchments

Naspers is offering some editorial staff in its print business severance packages, Business Report reported on Wednesday.

“The media industry is going through tough times and it’s important we assess cost structures and one of those costs is from staff,” said FinMedia24 chief executive Timothy Spira in a memo to staff, that was leaked to Business Report.

The affected employees include senior staff at all the Afrikaans newspapers (Rapport, Beeld, Volksblad, and Die Burger), senior editorial employees at City Press, editorial staff within FinMedia24 and all McGregor BFA’s workforce, which provides stock
market and research data.

Spira told staff the company’s performance had necessitated that it review its cost structures to ensure that “we are able to navigate the difficult months ahead and emerge from the current downturn a leaner and more streamlined organisation”.

Spira added: “This decision is motivated not by any lack of confidence in the long-term prospects of FinMedia24 or any of its operating divisions, but is rather part of an ongoing effort to improve our operating efficiencies and enhance our competitive
position”.

Business Report said Naspers last year retrenched 20% of its Media24 staff.

At the end of last March, Media24, including newspapers and magazines, had 5 391 staff, down from 6 825 in 2008.

Media24’s earning before interest, tax and amortisation fell 22% to R252-million in the six months to September. – Sapa