Groupe TVA is cutting 547 jobs — nearly one third of its workforce — in what it calls “major changes to its organizational structure.”
The Quebec media company made the announcement Thursday afternoon, saying it is looking to reduce operating expenses. The CEO of Quebecor Inc., which is TVA’s corporate parent, claims the subsidiary’s deficit is no longer sustainable.
Pierre Karl Péladeau addressed the cuts during a news conference, saying “hard choices” had to be made to ensure the company survives amid declining audiences and ad revenue.
“The reality is clearly difficult,” Péladeau told reporters.
TVA is not only restructuring its news division but also ending its in-house production of entertainment content. There will also be measures to “optimize its real estate portfolio” —including a reconsideration of the future use of its headquarters east of downtown Montreal.
The majority of job cuts, about 300, will affect the in-house production at TVA while 98 employees will lose their jobs in stations across the province. TVA says 149 people will be laid off in other sectors, but did not provide more details.
Meanwhile, other parts of Quebecor will also be affected by the changes. In Montreal, all of the parent company’s traditional and digital news media teams will be housed in a single location on Frontenac Street. In Quebec City, daily newspaper Le Journal de Québec will move into the television station’s offices.
TVA attributes its financial strain to the proliferation of streaming services and the shift of advertising spending to web giants rather than legacy media.
The 63-year-old company also took a shot at social media platforms for benefiting from links to news stories without paying for content and at CBC/Radio-Canada, which it deemed unfair competition.
Earlier this year, TVA cut 140 jobs.
— with files from The Canadian Press