A £50m downsizing is planned...
The Daily Mail and General Trust (DMGT), which operates British newspapers the Daily Mail and The Mail on Sunday, is set to axe 400 jobs as part of a company-wide overhaul.
It has stated that "just less than half" of these cuts will come from its DMG Media division, which is home to both of those papers, as well as Mail Online, the Metro freesheet and US site Elite Daily.
Stephen Daintith, DMGT’s chief financial officer, said the DMG Media cuts will be across the board, including advertising sales, marketing, human resources and finance. He said:
“Editorial are not a significant part of the mix. We are continuing to ensure we are investing in editorial to deliver the highest quality content to our readers"
It is not known if its Irish operation will be affected.
The reorganisation of the business under new chief executive Paul Zwillenberg will carry a £50 million exceptional charge this year, more than triple the £15m it expected to see back in May.
The move comes due to "challenging market conditions", with DMG Media suffering a 4% fall in underlying ad revenues over the 11 months of its financial year thus far.
The situation has worsened in the five weeks since August 21st, with ad revenues falling 10% and print advertising plummeting by almost one-fifth.
Zwillenberg will provide more details on the cost-cutting plans alongside the group's full-year results on December 1st.