March 16, 2009
Joint Media _Release

TVNZ dividend will cost 90 jobs

The dividend the Government is demanding from TVNZ is enough to pay for every one of the 90 redundancies announced today and still have cash left over, say the Engineering, Printing and Manufacturing Union and the Public Service Association.

The call follows TVNZ’s announcement today that it plans to cut 90 jobs, including positions in News & Current Affairs, as part of its recession-driven cost-cutting drive.

EPMU national secretary Andrew Little says it is a disgrace that the Government is demanding money that could save jobs.

“At a time when many other companies are reducing their dividends to ensure their survival the Government is intent on taking a boom-time sized dividend and it will cost ninety working Kiwis their livelihoods.

“That’s ninety families who are going to be sent to the dole queue in the middle of a recession because of the Government’s ideological commitment to squeezing out a dividend at all costs.”

“Rather than encouraging TVNZ to cut staff Jonathan Coleman should be willing to accept a reduced or nil dividend in order to make sure TVNZ can continue to operate properly through the recession.”

PSA national secretary Richard Wagstaff says the 90 jobs are in the Minister’s hands.

“The Government’s claim that saving jobs is its top priority seems rather hollow at a time when it’s actively destroying jobs at TVNZ.

“We will rigorously consult with TVNZ to avoid as many job losses as possible, but ultimately this comes down to whether or not the Minister values jobs over dividends.”

Savings in labour costs are expected to make up a quarter of the $25 million savings required, or around $6 million. TVNZ’s last dividend to the Government was $10.3 million.

The PSA and EPMU represent 100,000 working New Zealanders including more than 200 frontline TVNZ staff.

ENDS

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