Mass job cuts at major media firm months after merger
The company, which owns the Seven Network, Triple M and The West Australian, is cutting hundreds of jobs due to a drop in TV advertising revenue.
Southern Cross Media Group said on Thursday it would cut 250 to 300 roles in a bid to save $145 million to $150 million.
The company, which merged with Seven West Media in January, said some of its business units, particularly its television division, deteriorated more than expected in the fourth quarter.
Southern Cross expects earnings of $185 million to $190 million in 2026/27, compared to an earlier forecast of $200 million to $220 million.
“We must reset our cost base to meet current market conditions and reap the full benefits of scale across our trusted platforms for our audiences and advertisers now and in the future,” said Rohan Lund, Southern Cross’s new CEO and managing director.
“Unfortunately, this means saying goodbye to some of the talented colleagues who helped us build our business.
“We are deeply grateful for their contribution and committed to supporting them through this transition.”
Southern Cross Media Group said most of the staff to be made redundant were middle and back office staff and corporate staff.
The company expects the restructuring to cost it about $20 million this year.
The company also expects to post a hefty contractual award of $65 million to $70 million related to its former television contracts.
The announcement looks set to vindicate Southern Cross shareholders, who say the merger is a bad deal for their company.
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