Guardian to axe 100 jobs

Guardian Media Group is preparing to cut up to 100 more editorial staff, as it looks to cut costs. The job loses come after the company decided against closing The Observer. The world's oldest Sunday newspaper, the Observer, will work more closely with the Guardian, a statement from Guardian News & Media

The publisher of The Guardian had already said it would trim 50 posts from its editorial staff of 850 by the year-end. Alan Rusbridger, editor-in-chief, told staff last week to expect more cuts.

It has been reported that a voluntary redundancy scheme is being reopened. So far, 82 posts have already gone from the commercial side of the business.

The group have circulated dummy copies of the Observer, which is a new slimline version. It contains fewer sections and folds business coverage inside the news pages. Currently, the music, sport and food magazines are at risk.

Guardian News & Media (GNM) had a GBP£36.8 million operating loss last year. Carolyn McCall, group chief executive, said: "GNM is looking to the future and making sure it's in good shape."

The debt-laden Independent is seeking another extension of its standstill deal with bondholders, which expires on Friday. If the deal fails, the group may have an emergency rights issue.

In May 2009, GNM announced 50 editorial redundancies as part of an attempt to reduce costs by GBP£10 million, and earlier this week GNM's managing director Tim Brooks, told staff in a memo posted on the Guardian's intranet that more jobs could be at risk. GNM was losing GBP£100,000 a day - a rate that cannot be afforded by its parent company, Guardian Media Group, he said.

21/09/2009

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