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Newsquest stays quiet on rumours of job cuts in Blackburn | Print |  Email to a friend
Wednesday, 27 January 2010

How-Do understands that a raft of redundancies are set to be made at Newsquest's production base in Blackburn.
How-Do understands that a raft of redundancies are set to be made at Newsquest's production base in Blackburn.

Around 18 to 20 jobs are believed to be in jeopardy.

Newsquest itself has yet to comment on the development - which was apparently announced to staff at the firm yesterday afternoon - despite continued efforts by How-Do to elicit a statement from senior management.

Image
Off to India?
It is understood that the cuts are set to hit the advertisement production department in Blackburn, which, as the regional hub, currently caters for titles throughout the North West.

No editorial jobs are believed to be at risk in the move.

It appears as though the North West arm is set to emulate a move the firm tested within its Sussex division early in 2008, when prepress production work was out-sourced to the Indian office of Express KCS.

An insider at the business has told How-Do that advertisement production in the region is also 'set to move from Blackburn to India', suggesting a possible roll-out of an out-sourcing policy within the firm.

However, this could not be confirmed at the time of writing.

 

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  Comments (43)
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 1 By bad news, on 27-01-2010 16:36
Local papers with production handled internationally? Madness.  
There will be mistakes and all sorts lost in translation if this is true. 
Another cost saving at the expense of quality. How depressing.
 2 By Jobless in Sussex, on 27-01-2010 17:52
I think you may want to get your facts straight - the "roll out within the firm" has actually been on-going of the last 2 years or so and in fact Blackburn would be one of the last few to centres to move this way if it happened!! 
Madness indeed!
 3 By Tendulkar, on 27-01-2010 19:59
Ghandi built the Congress Party on a boycott of Blackburn-manufactured dhotis in favour of home made versions, hence the spinning wheel in India's national flag. What chance of a similar anti-globalisation protest here? Er, none.
 4 By Bolton blues, on 28-01-2010 11:56
When you think about the Bury Times, you have a paper written in Bolton, subbed in Blackburn, printed in Wales and with adverts created in India. Local paper? hahahaha. Don't make me laugh. It makes me cry.
 5 By Loggedoff, on 28-01-2010 15:18
Sorry guys but sometimes you have to be cruel to be kind. It's survival time for local papers. If the move to India keeps the company going, then it must be done. 
Otherwise, keep the production here and ask the advertisers to pay a higher price, I am sure they will be delighted.
 6 By Mr_Osato, on 28-01-2010 18:08
local papers make an absolute fortune and are still making an absolute fortune in the middle of the recession - don't believe their excuses. The onle reason for any decline is that they're no longer 'local'. Newsquest's American parent company, by the way, tried outsourcing ad work to India a couple of years back and it was an utter disaster - no doubt it will be the same here
 7 By WTF, on 28-01-2010 18:27
"local papers make an absolute fortune and are still making an absolute fortune in the middle of the recession - don't believe their excuses." 
Can you povide evidence to back up your comments? 
local papers are skint, no revenues, redundancies and falling circulation. yeah, making a shed load each month. utter nonsense from another ill-infomed user of this site.
 8 By Paul, on 28-01-2010 19:37
@ Mr Osato. It's my understanding (shared with Jobless in Sussex above) that this is one of the last Newsquest centres to move advertising work offshore. That kind of suggests it has been a success elsewhere (in terms of the quality being acceptable, no doubt it's not as good as before). 
 
@ Bolton blues. Good point! And depressing. I think with circulation decline we will soon reach a point where multinationals won't be interested in local papers any more and we'll revert to a locally-owned Bury Times.
 9 By Mr_Osato, on 29-01-2010 11:52
@WTF 
 
http://www.pressgazette.co.uk/story.asp?storycode=44214 
 
http://www.pressgazette.co.uk/story.asp?storycode=44060 
 
http://www.how-do.co.uk/north-west-media-news/north-west-publishing/profits-slump-for-men-media-201001157219/ 
 
can't argue with the facts. MEN Media even manages to make a profit while subsidising the Channel M disaster to the tune of tens of millions.
 10 By Compo, on 29-01-2010 15:22
Mr_Osato - obviously, you are not a business owner or you would understand that it is profit to turnover and % return on investment that are meaningful guides to 'profitability' and to how successfully a business is operating.  
Where these two indicators are low, shareholders are justified in selling up and investing their cash where it will generate a better return. 
It will not be just the MEN selling up soon - watch out for Newsquest, Trinity and others offloading subsidiaries soon.
 11 By Ex MEN staffer, on 30-01-2010 12:11
WTF, Mr Osato is quite right. Newspapers still make a lot of money. And he is also right to point out that the MEN still manages to turn a small profit despite propping up the amateurish Channel M
 12 By WTF, on 30-01-2010 19:37
Ex MEN staffer - I guess that's exactly why you are. 
clueless dinosaur out of your depth with innovation. 
If newspapers are making sooo much money why are they heavily involved in trying to make online content paid for? jumping into bed with rivals and trying ANYTHING to make money. You're stuck in 1970s mate (and sadly you are not alone hence the sweeping cuts in your sector). 
as Compo points out Turnover and Profit are two very different figures.
 13 By Captain Chaos, on 30-01-2010 22:51
Local newspapers are not the future and your refusing to accept it is probably the reason why you are an 'ex' MEN staffer. 
 
I love how practically every publishing/broadcasting story on here has to have some embittered two-bit newspaper hack whinge about Channel M 'stealing their profits!' in the comments. Fscking grow up and get over it! 
 
Then again, it probably breaks up the time between visits to the Job Centre!
 14 By Martin R, on 31-01-2010 11:48
Ex MEN staffer - which planet have you just come down from? Regional newspapers are in dire straits at the moment - all over the country.
 15 By Mr_Osato, on 31-01-2010 21:23
Compo is clueless, WTF even more so. By whatever measure, local newspapers remain hugely profitable. The challenge they face is that more and more readers want to read their product on other media, such as the web, mobile phones and, in the near future, e-readers. These do not, at the moment, support advertising as well as the traditional newsprint format. As such, readers who choose these formats will have to pay the full economic cost of the product, rather than having 80 per cent of the cost subsidised by advertising. The newspaper groups will come round, eventually.
 16 By John D, on 01-02-2010 09:51
Compo: Your ignorance regarding financial realities is nothing to be proud of.
 17 By Captain Chaos, on 01-02-2010 14:05
If local newspapers are so profitable Mr. Osato. Why are they all downsizing, outsourcing or closing then? That doesn't sound like the actions of a profitable entity in a buoyant market does it? I have to say, you're beyond delusional if you think that most newspaper organisations are even remotely ready for 'new media' or have a workforce willing to embrace it. 
 
They're mostly full of people who yearn for the good old days of hot metal presses and obstructive trade unions with spanish practices protecting their overstaffed and overpaid behinds.
 18 By WTF, on 01-02-2010 14:09
"By whatever measure, local newspapers remain hugely profitable. The challenge they face is that more and more readers want to read their product on other media, such as the web, mobile phones and, in the near future, e-readers. These do not, at the moment, support advertising as well as the traditional newsprint format. As such, readers who choose these formats will have to pay the full economic cost of the product, rather than having 80 per cent of the cost subsidised by advertising. The newspaper groups will come round, eventually. 
 
I lost count of the contradictions! 
if local papers are so profitable why are they being closed at a rate of 2 per month? 
How many are being bought out because the moneymen can see the future profits?...err none. 
 
newspaper groups lost out to online and TV ages ago. If they are to survive it will be as multi platform, multi media operations not as 'local newspapers'.
 19 By Brick, on 01-02-2010 14:35
LOUD noises!!!!
 20 By Mr_Osato, on 01-02-2010 20:38
yet local newspapers remain much more profitable than TV or radio - ITV is screwed, GMG has squandered almost as much on Real Radio as it has on Channel M. Newspapers are being downsized because they are managed by people with ultra-short-term strategies who are used to profits that are 30-40p in the pound not 10-20p. By comparison Tesco make 3.4p in the pound.
 21 By Ex MEN staffer, on 01-02-2010 20:48
WTF, I'm not out of my depth with innovation at all, and I am in full time employment. However, I'm not dazzled by the bright lights of telly - especially local TV as badly done as Channel M. That's badly done TV which piggy backs on the MEN to keep going. I don't think anyone is disputing that regional newspapers are currently battling for their futures, but there is no denying they still make a lot of money at the moment. Unlike Channel M, which doesn't. 
As it is, I think it's quite sad that WTF chose to come on to a story which talks about the loss of jobs to gloat.
 22 By Captain Chaos, on 02-02-2010 21:17
By Ex MEN staffer, on 01-02-2010 20:48 
"...especially local TV as badly done as Channel M. That's badly done TV which piggy backs on the MEN to keep going..." 
 
Care to elaborate citing examples, or shall I simply disregard your statement as the ill-informed rambling of a blinkered ex-employee with an axe to grind? 
 
Interesting to see that both Labour and the Tories both regard Channel M as a perfect example of a newspaper company moving with the times instead of burying its head in the sand and hoping the internet will just go away.
 23 By Captain Chaos, on 03-02-2010 00:53
By Mr_Osato, on 01-02-2010 20:38  
GMG has squandered almost as much on Real Radio as it has on Channel M. 
 
Woo hoo! That's a great one! Where did you get that 'fact' from? GMG's spending on Real Radio is an order of magnitude greater than that of Channel M.
 24 By Diogenes, on 03-02-2010 12:20
Captain Chaos...Channel M may well be an example of a newspaper company "moving with the times" but that does not make it a quality product. Indeed if this is what working in TV is all about nowadays book me on the first flight to the Dignitas clinic.
 25 By WTF, on 03-02-2010 13:36
Channel m has won something like 13 RTS awards and been nominated over 20 times in the last ten years. 
'quality' is subjective. 
 
I mean Big brother in HD might be 'quality' to you but it's pure sh!te to me.
 26 By Angry of Didsbury, on 03-02-2010 16:10
Someone is getting confused here. Channel M is not the internet. Not having a TV station does not mean a paper is ignoring the internet.  
 
The facts here are very simple. Channel M costs a lot of money. It loses money hand over fist, and a long time ago was supposed to have started paying its own way.  
 
Labour doesn't support city-based TV, the Tories do. But as the MEN has proved, you can't make it cover its costs at the moment. Something which runs at a huge loss, and survives simply because it has a large print operation making enough money to carry it isn't a model for the future.  
 
WTF, awards count for chuff all if you can't make what you're doing pay for itself, especially if they are regional awards. Many print journalists will tell you that. Perhaps it's worth listening to them every now and again?
 27 By more WTF, on 03-02-2010 16:55
"The facts here are very simple. Channel M costs a lot of money. It loses money hand over fist, and a long time ago was supposed to have started paying its own way. " 
 
if the year was 2005 I'd agree with you. Too many ex / current print journos don't get it and continue to rehash old tales of massive losses etc etc etc. Ch m is a stand alone business so it isn't 'propped up' by anyone, definitely NOT the MEN!! 
Look at the MEN Media websites - full of video content....produced by their TV arm...which is channel m! 
 
I'm afraid, Mr angry you have let the red mist cloud your already binkered view about channel m. All of your points are inaccurate or plain wrong...so I assume you work in print?
 28 By Diogenes, on 03-02-2010 21:20
I'd love to see the books! I'd bet my mortgage that Channel M does NOT make a profit...and will not in five years. If it's still around. "Channel M continues to haemorrhage cash" was the headline last month in Crain's Manchester Business. Remember last April when they axed one of the best loved departments (music). Channel M is a new idea...but then so was the Sinclair C5 at one time.
 29 By Mr Angry of Didsbury, on 03-02-2010 21:16
More WTF, rather than question my motives for posting here (I don't work in print at all actually), how about checking some facts.  
 
Here's a Crains article from last month: 
 
Channel M, Greater Manchester's city-based television station, has racked up losses of £14.4m for its owners MEN Media Ltd, publisher of the Manchester Evening News. 
 
The deficit rocketed in the 12 months to March 29, 2009, when the channel lost more than twice the amount it pulled in as revenue. 
 
The pre-tax loss widened to £5.5m compared with £4.7m in the previous year, after turnover slumped by nearly 25 per cent to £2.55m. 
 
Writing in the accounts, directors Mark Dodson and David Sharrock said: “The performance of Channel M in common with the rest of the regional media sector has been disappointing.” 
 
So, in 2009, the story is similar to 2005. These are big losses, and how are they covered? From other parts of the business, so it is being propped up.  
 
My point about Channel M not being the internet is that video plays a small part of a newspaper website. News websites get most of their traffic from written articles, not video. So you don't need a TV station, one which is losing money, to be effective online. Of course, it's handy to have a TV station to serve up video - especially when it's video produced which can sit alongside a story which has appeared in the MEN - but it's by no means essential.  
 
No red mist here, just an opinion based on facts which are widely available.
 30 By Geremy Wilde, on 04-02-2010 09:48
If Channel M is a 'stand alone' business it would now be insolvent and would have been forced to cease trading. 
 
Of course it is being propped up by the rest of the MEN group WTF!
 31 By Mike Giggler, on 04-02-2010 10:42
How do you make a small fortune in business? Begin with a large fortune and set up a city TV station!!!
 32 By WTF, on 04-02-2010 13:42
my apologies- It was all printed in Crains so it must all be true!! even quoting crains is hilarious. 
No point carrying on this 'discussion' because you don;t understand business or broadcasting. 
Channel m has a bright future so please keep reading the press / online for more
 33 By Diogenes, on 04-02-2010 13:54
WTF...yes, and the world really is FLAT. Channel M appears to be a product nobody wants ... for whatever reason. Otherwise it would be a success. Channel M is under-resourced in a way that, for example, Sky wasn't. You can't have a Channel that's actually worse than regional telly was when the audience was growing up. Channel M isn't innovative. It's hardly the iPod of telly. At least the Sinclair C5 had Sir Clive. Who champions Channel M? Where's the flag waver, where's its 'squarial'? Where's its unique branding?
 34 By Clive Sinclair, on 04-02-2010 14:19
...watch it.....
 35 By WTF, on 04-02-2010 14:32
I believe it took Sky 13 years to break even and then go into profit year 14? I think channel m's been going 5 years? 
 
'A product nobody wants' - I didn't realise you were the voice of Manchester. If it wasn;t working and nobody watched, it would be off the air. Not on three major platforms and bringing in significant revenue. 
 
Diogenes - You really need to keep up with the times and stop reading old news / Crains. You're just making an ar$e of yourself.
 36 By Clive Sinclair, on 04-02-2010 14:45
Er...WTF...your impassioned and impressive defence of this Channel M thing means that you can only be one of two people; the chief executive or MD. Which is it?
 37 By WTF, on 04-02-2010 14:59
nope, just someone who knows the TV industry a little better than most. 
 
Look at almost any thread on how do about any sector and someone is grinding an axe or chewing sour grapes or worst of all spouting cr*p about something they don't fully understand. 
I don't work for channel m but I do know it's on the verge of great things in spite of the doomsayers.
 38 By Peter Griffiths, on 04-02-2010 15:44
WTF whilst I don't have sufficient information to comment on this subject, I agree wholeheartedly with your comments regarding the negative thinkers who appear to spend most of their working lives looking to criticise their peers. 
How do (no pun intended) these no-hopers keep their own jobs?
 39 By Diogenes, on 04-02-2010 16:34
I think you will find Murdoch turned a profit (and a huge one) after only six years, not 13 as you state. cf "In 1992 total cable and satellite revenues were £49m (from advertising and subscription). In 1996 they were £1.5 billion. Already the new television channels were earning more than the BBC."
 40 By Honesssst Bob, on 04-02-2010 16:45
[coughs]clueless[coughs]
 41 By Cath O'Draytube, on 04-02-2010 16:49
"....I do know it's on the verge of great things..." 
So, you're not the MD or CEO and you don't work for them, but you're making a statement like that, hmmm? In which case could tell us what numbers to pick for Saturday's Lotto? 
(By heck, how on earth did we fill these long afternoons in the office before the days of How Do?)
 42 By Trooper John, on 04-02-2010 21:44
WTF, as a big fan of your comments, it's hard to believe you don't work at Channel M, given the number of times you have used the word 'we' to describe Channel M.  
 
And surely if what Crains had written was wrong, Channel M would have sought to correct it?  
 
Who knows, maybe we'll all be proved wrong but significant revenue isn't enough if it doesn't cover the outgoings. And how much support does Channel M get from the MEN? How much more in the red would it be if it wasn't able to call on the MEN's newsgathering team?  
 
Comparing Channel M with Sky is laughable.  
But hey, what do I know!
 43 By Captain Chaos, on 05-02-2010 03:50
By Trooper John, on 04-02-2010 21:44  
WTF, as a big fan of your comments, it's hard to believe you don't work at Channel M, given the number of times you have used the word 'we' to describe Channel M. 
 
Has he? I must be missing a comment or two on this article because I can't see any example of him saying that.

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