Independent Media has broadened the scope of its retrenchment process to include all divisions within the organisation – with immediate effect.
This follows last month’s announcement of cutbacks in its editorial division.
The company is looking to reduce its headcount by at least 40% to realise necessary cost savings to ensure the sustainability of the organisation within the current harsh economic climate. While most print media companies have embarked on drastic restructuring over the past few years, especially following the Covid-19 pandemic, Independent Media has made every attempt to secure jobs for its people, the company said.
However, it has been impacted by dwindling advertising revenue, a continual drop in circulation coupled with the severe challenges of South Africa’s flailing economy, which has been exacerbated by loadshedding and interest rate hikes.
“We have tried to stave off retrenchments for as long as we could, by drastically reducing operational costs and implementing various efficiencies throughout the organisation. Sadly, this has not been sufficient, and we are now faced with the harsh reality of job reductions,” said Takudzwa Hové, CEO of Independent Media.
The cutbacks have bearing on the future structure of Independent Media, which will form part of the discussions during the consultation process with staff.
“This process will lead to a revamped organisation with a leaner team but to get there, we have to take courageous difficult decisions like we are doing now,” said Hové.
Independent Media will continue to respect the public’s right to access accurate and relevant information.
“As the country’s largest print media publishing company, we understand that developments at Independent Media are of public interest. We therefore request our colleagues in the media to respect the process that it is underway, and the impact that any irresponsible and reckless reporting would have on its employees and their dependents,” said Hové.