This was sent out to CTV staff today, Nov. 18, 2008
To All Staff
The current financial situation has affected all of us. Along with Canada and the world markets, our industry is no exception.
The worldwide financial situation is causing sharp decreases in advertising spending and even the potential bankruptcy of some of our single biggest customers.
No one knows how long this economic situation will last. Some financial experts suggest it may continue through 2009 and perhaps longer. This is one of the biggest challenges we’ve ever faced.
All of this is in addition to the ongoing structural issues affecting conventional television, which are compounded by the recent CRTC decision.
After much careful and thoughtful consideration, we have concluded that it is no longer possible to maintain the current ‘status quo’ of our company’s operations.
So effective today, we are going to implement a number of immediate measures that allow CTV to save significant costs while utilizing our resources more efficiently and effectively
Across all TV properties there will be a hiring freeze – you will notice that the job vacancy boards across the country are empty.
A freeze on travel and entertainment spending.
New projects, unspent capital plans will be revised, delayed or halted.
We have also asked each department head to identify efficiencies – unfortunately, this will result in some layoffs.
Much of the above will be asymmetrical. Each situation will be judged by its own circumstances. In other words, where there is strong revenue or competitive reasons, we may choose to add, not cut, resources.
There is never an easy or good time to take these kinds of measures. But we have to keep it real.
It is important that we at CTV move to protect our company and sharpen our ability to bounce back at the first signs of economic recovery.
There will be a Town Hall tomorrow, Wednesday, November 19, 2008 in the etalk Newsroom on the 2nd Floor, 299 Queen St. W. @ 1:15 pm ET (10:15 Pacific Time / 2:15 pm Atlantic Time).
As well, a live feed will be available across the country.
I look forward to answering any questions you may have, whether in person at the Town Hall or via e-mail. You are invited to submit questions in advance of or during the Town Hall to Rowena Cruz, rcruz@ctv.ca
Ivan Fecan
Chief Executive Officer, CTV Inc.
5 Comments
Ummm allan things haven’t been quiet. There was a recent quarterly financial update that Stursberg gave. We’re down $45 million from projections.
They’ve used up a contingency fund, cut promotional budgets, asking people to hold off hiring for non essential positions.
He has specifically said he doesn’t want to start hacking jobs. This is just economic situation is temporary so delaying some capital costs and trimming a few budgets here and there is the way he plans to handle it.
Whether you believe him is another thing, but he hasn’t been quiet.
Our ad numbers aren’t down as much as Global and CTV. Also helps that the majority of our funding is (more) stable government funding.
You didn’t hear the sigh of relief from the executive suites at CBC? This will help them rationalize the cuts they are about to make. CTV is acting in antipation of a shortfall. CBC already has one.
You’re not reassuring any of us, allan.
Sort of begs the question – what’s happening at the CBC?
Strangely quiet, despite being party to the same economic climate as CTV.
New meaning to the phrase “Live the Drama with CTV!”