The Irish Times Ltd announced today that it is seeking salary reductions from staff in response to the projected fall of €20m in advertising revenue in 2009.
The company has proposed that the majority of staff will have their salaries reduced by 5 per cent, with senior staff taking a 10 per cent cut.
The Managing Director and Editor will take a 20 per cent pay cut. The Deputy Managing Director and Deputy Editor will take a 15 per cent cut.
The company has proposed a 5 per cent cut for staff earning between €40,000 and €100,000 annually, and 10 per cent for those earning more than €100,000. There are no reductions for employees earning under €40,000.
The company has also proposed changes in terms and conditions, including a longer working week for all staff.
The company is seeking an early meeting with its trade unions under its partnership agreements.
The managing director of The Irish Times Ltd, Maeve Donovan said: “These changes are a swift and decisive response to the dramatic fall-off in advertising revenue which is affecting all media companies in Ireland. The decline in property and recruitment advertising has been particularly marked.
"By reducing our costs at this early stage, we are giving The Irish Timesthe best possible chance of coming through this recession in good shape".
The Editor of The Irish Times, Geraldine Kennedy, said: "We are determined that there will be no diminution in the quality of the newspaper despite the current financial pressures."
The company announced a wage freeze and a voluntary parting scheme last November.