Press release -
Extraordinary cost reductions at NHST Media Group
NHST Media Group has decided to reduce costs by about NOK 70 million in 2020 to compensate for negative effects of the corona crisis and declining oil prices. Group publications are experiencing record-high readership numbers, but income from advertising and conferences are dropping considerably both in Norway and globally.
- We are delivering important journalism and good products at a difficult time, and I am very impressed with the work delivered by all our employees. However, our income decline is considerable and comes on top of existing challenges in the media industry. We have no choice but to implement extraordinary measures to make sure that we get through this crisis in the best possible way, says Hege Yli Melhus Ask, CEO of NHST Media Group.
Cost savings at the NHST group will include hiring freeze, temporary pay cuts, temporary layoffs and lower administrative expenses. The Group Management Team and the Management Teams of several NHST subsidiaries have agreed to voluntary salary reductions of 10 percent, from 1 April through 30 June this year. More than 100 employees at NHST Global Publications have done the same.
Dagens Næringsliv, the Group’s largest publication, on Wednesday 25 March sent notice of part-time or full-time temporary layoffs to 19 employees among advertising and administrative staff.
- I am truly sorry that we have to impose cost reductions that affect many of our competent and motivated employees, Ask says.