The Irish Times has confirmed that company representatives will meet its unions early next week to brief them on difficulties arising from the economic downturn. The company has engaged KPMG to help identify measures to maintain the newspaper's competitiveness.
Yesterday, The Irish Times editor Mr Conor Brady said: "I think most people know that costs are up and revenues are down. It's much the same in many other organisations, I imagine, in the wake of the US downturn. At present we are working on getting a full and accurate picture. When we have that we'll move forward under the agreed consultative procedures. There's a meeting with the group of unions and the Joint Consultative Council next week and we'll also be briefing department heads," he said. However, Mr Brady refused to comment on reports of possible redundancies.
Last year the Irish Times Ltd made a record profit of £14.7 million (€18.6 million), but last month unions were told the company was heading for a net operating loss by the middle of next year. The September 11th attack in the US has accelerated that process.
One management source said yesterday that the company was working to a "tight timeframe. We have to be in a situation by the end of the year where some of the cutbacks needed will be implemented, not just discussed".
The director of human resources, Mr Michael Austen, refused to comment on the cost overruns ahead of next week's meeting. "The figures will be released on Tuesday," he said. He conceded that the cost base was high and had to be addressed urgently. "But this will not be done by management diktat. We will meet the unions and the working-out of the details will be done through agreed procedures."
NUJ national secretary Mr Seamus Dooley said his union would be concerned to "preserve the editorial resources of the company" and resist "any threat to the quality and independence of journalism in The Irish Times".
SIPTU branch secretary Mr Mick Halpin said his members were "very annoyed that much of this debate has come out in media reports when there is a partnership agreement that provides for disclosure and co-operation".
