Independent News and Media announce lay-offs

Around 600 staff worldwide are to lose their jobs with Independent News & Media (INM) as part of a cost-saving restructuring programme.

The company says it will trim 5% of its current workforce of nearly 12,000 as part of this cost-cutting measure.

Of the 1,200 employees in Ireland, it is not known how many are to lose there jobs, but reports say that there will be at least 90 clerical jobs axed.

It is hoped that an extra €18.4m profit per year will be made as a result of these measures.

Sir Anthony O'Reilly, INM's chief executive, said the restructuring would enable the group to be a low-cost operator in all of its markets.

Redudancy payments and other costs related to today's decision are estimated to cost the company €53.5m.

The decision was made following recommendations from management consultancy firm Booz Allen Hamilton.

INM has operations in Ireland, Britain, South Africa, Australia and New Zealand.