ONE of the biggest wholesale media distribution companies in Ireland is to cut its staff numbers by about a third after the firm saw losses widen to nearly €1.5m.
The Irish arm of EM News Distribution (EMND), which distributes newspapers such as 'The Guardian' and 'The Sunday Times' as well as magazines such as 'Hello' and 'Vogue', is believed to be seeking up to 24 redundancies among its 82-strong workforce as it restructures its business to deal with falling revenue.
Staff were informed of the restructuring plans yesterday, and consultations with unions are beginning. The company is seeking cost savings of €1.5m, mostly through a voluntary redundancy programme it plans to have completed during the first quarter of 2012.
The media distribution business has been faced with shrinking turnover across the board for some time, with magazine readership in particular slipping back. The company made savings of some €2m in its distribution network during 2009 and 2010, and more savings may be made this year.
Company head Barry Harvey said the firm was aligning its cost bases with the economic reality it faced but added the restructuring would have "no impact" on the day to day operations of EMND.
The Dublin-based company, which is a joint venture between Eason and Menzies Distribution, reported a €1.48m loss for the year to January 1 2011, compared to a loss of only €169,054 in 2009.