Faced with a $C125 million ($92.1 million) budgetary shortfall for its fiscal 2024-2025 year, the CBC/Radio-Canada has announced that it will reduce programming costs and cut approximately 10% of its workforce.
The corporation said that the belt-tightening measures are as a result “of the same structural factors affecting all media companies in Canada,” including rising production costs, declining television advertising revenue and fierce competition from the digital giants.
The CBC/Radio-Canada is also faced with forecasted reductions to its parliamentary funding beginning in the next fiscal year, including the end of program integrity funding of $C21 million ($15.47 million) received annually since 2021.
As part of the cost cutting, the corporation expects to cut about 600 union and non-union positions across the entire organization. It has also identified about 200 currently vacant positions across the corporation that will be eliminated.
CBC and Radio-Canada will each be cutting in the range of 250 jobs, with the balance coming from Technology & Infrastructure and other corporate divisions. Each division will begin phasing-in reductions based on their business plans and operational requirements. Some will begin immediately; most will take effect over the next 12 months.
The Corporation will also be reducing its English and French programming budgets for the next fiscal year, including approximately $C40 million ($29.47 million) in independent production commissions and program acquisitions. This will result in reduced renewals and acquisitions, fewer new television series and episodes of existing shows, as well as fewer digital original series, the broadcaster said.
Earlier this year, the Corporation also said that it began implementing over $C25 million ($18.42 million) in discretionary cost reductions including travel, sponsorships, marketing and postponement of technology initiatives. It also limited filling vacant positions.
“CBC/Radio-Canada is not immune to the upheaval facing the Canadian media industry,” explained Catherine Tait, president and CEO, CBC/Radio-Canada. “We’ve successfully managed serious structural declines in our business for many years, but we no longer have the flexibility to do so without reductions. We understand how concerning this is to the people affected and to the Canadians who depend on our programs and services. We will have more details in the months ahead, but we are doing everything we can to minimize the impact of these measures.”
