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1,000 jobs cut at Daily Mail group
Posted By admin On March 23, 2009 @ 10:10 am In Business, Finance, Leisure | No Comments
Jobs are being cut as UK media outlets experience a decline in profits and advertising revenue.
The Daily Mail and General Trust (DMGT), the media group that includes ownership of the Daily Mail and some regional newspapers, has announced that around 1,000 jobs will be cut from its Northcliffe Media group due to a drop in profits and advertising cuts.
Northcliffe Media includes regional newspaper titles such as the Essex Chronicle, Bristol Evening Post, and Hull Daily Mail, and its advertising revenues for the last quarter are down 37%. The jobs cuts are twice the number anticipated in DMGT’s November financial results.
The group recognised that “this has been a tough quarter”. In its trading update, it stated: “Revenues for the five months fell by 12%. Prospects for the end of March and into April remain uncertain for display advertising, but classified revenues, other than recruitment, are showing signs of stabilisation. Recruitment revenues are still decreasing and we expect them to be down 55% for the quarter.”
DMGT is not the only media group to experience difficulties. Earlier this month, Archant, which owns publications such as the Eastern Daily Press and East London Advertiser, announced a fall in profits and advertising revenues.
Richard Jewson, Archant’s Chairman, said: “We expect the difficult trading conditions, which have deteriorated through the last few months, to continue for 2009 and beyond. It is impossible to know the timing and extent of any recovery and difficult to foresee the shape and scale of our industry in the years ahead.”
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