Big Job Cuts Coming As CBC Retools
April 10, 2014 at 12:43 PM (PT)
The CANADIAN BROADCASTING CORP. is cutting 657 jobs over two years and canceling planned new stations and bidding on pro sports rights as part of a C$130 million budget cut, the network announced THURSDAY (4/10). One-time severance costs for the cuts will reach C$33.5 million.
The CBC, funded by a combination of federal taxes and television commercials, has instituted commercials on two of its radio networks and recently lost the rights to the iconic "HOCKEY NIGHT IN CANADA" NHL package to ROGERS (although the SATURDAY night games will air on the CBC, ROGERS will keep the ad revenue). In its release on the cuts, the CBC said that it will no longer bid against private broadcasters for pro sports and will continue to cover "signature events of national importance such as the Olympics" but in "new ways" including partnerships. The network will also merge the ad sales departments of CBC television and Francophone RADIO-CANADA television and will not open planned expansions like a new TV station in LONDON, ON.
CBC/RADIO-CANADA President/CEO HUBERT T. LACROIX said, “Today, we have made the tough decisions necessary to balance our current budget. As the media landscape changes, CBC/RADIO-CANADA will also need to re-imagine itself in order to continue delivering on the mandate with which we were entrusted over 75 years ago.”
“It’s clear we can’t be resizing the public broadcaster every two years,” added Lacroix. “It is equally clear that the media landscape is transforming at an astounding speed. To meet this challenge, we have accelerated a strategic planning exercise that was already underway. This new strategic framework, which we will announce in the coming months, will guide the Corporation’s evolution towards a smaller, more nimble and more open public broadcaster. It will ensure that the services we provide, and the operating model that supports those services, evolve in tandem with the changing expectations of Canadians and the movements of our industry. Today’s announcement is not an end point, but a pivot point into a period of accelerated change.”