Media groups Granada and Carlton have signalled job cuts as they unveiled plans to boost savings from their merger to £100 million. Granada has refused to say how many jobs could go as a result of the £4.5 billion tie-up with Carlton, which is expected to be completed in early February. But it said a 90-day consultation exercise with staff about its plans to achieve the savings would begin today. The companies are planning to integrate certain broadcasting activities and improve operational efficiency as part of the deal. They have identified £57 million of savings on top of the £43 million achieved since October last year, of which £24 million came from Granada and £19 million within Carlton. Chief executive designate of the enlarged group, Granada's Charles Allen, said he was "not at liberty to quote any numbers" on job cuts. He said: "It will only be appropriate to do that when I talk to my own people and staff." Granada employs about 6,000 staff, while Carlton has about 2,500. Trade unions, who have already called a ballot of Granada staff in protest at a pay offer, fear the merger could mean job cuts. Mr Allen said the planned savings would come partly from merging the companies' head offices and corporate and back office functions and eliminating areas of duplication. He said the enlarged company would move its focus "away from bricks and mortar and towards talent and technology".
Thursday November 27, 2003
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