INM workers to be told of job cuts plan

Workers at Independent News and Media (INM) are to be told today of planned jobs cuts and a restructuring in the Irish Independent and Evening Herald newsrooms.

The Irish secretary of the National Union of Journalist, Seamus Dooley said that he was aware of the meeting taking place and anticipated that there could be redundancies.

“I am aware that a meeting is taking place and I would anticipate negotiation on redundancies or changes in the work practices,” he said.

It is understood that there will be up to 29 redundancies announced at the company.

There will also be changes in work practices with the Herald and Independent newsrooms as well as the internet operation being amalgamated into a single pool of reporters. It is understood there could be up to 17 administrative jobs culled and 12 editorial positions lost as a result of the cost-cutting arrangements.

The meeting with staff represents an acceleration of the INM cost-cutting plan which has already seen 90 people let go in London, South Africa and Australia.

INM has also briefed workers at its printing operation in Dublin within the past two weeks on the need for savings. Workers at the print works are to be balloted on proposals.

It has been reported that INM is looking to cut €25m in costs following a comprehensive review of its operations.

The company launched Project Resolute in April to review all costs and operations in INM and come up with a plan for a newly restructured operation to present to its bankers.

Part of the restructuring is the expected sale of the company’s South African operation. INM is hoping to raise €240m by off-loading the operation.

However, the company is hoping to hold on to its stake in its Australian publisher, APN.

The company is trying to refinance its debts of €423m before it matures in May 2014. The group also has a massive pension debt of €163m and is examining ways of restructuring its pension fund.

As part of cost-cutting measures, there has been speculation that INM and the Irish Times could share a printing facility.

The value of INM shares have fallen 59% in trading this year, and closed at 8.5c yesterday, giving it a market capitalisation of €46.8m.