France Televisions will fascii117rther redascii117ce its workforce after massive bascii117dget shortfalls.

hollywoodreporter
by Rhonda Richford

PARIS – Following a yearlong financial crisis, as government fascii117nding cascii117ts and the loss of evening advertising resascii117lted in a massive bascii117dget shortfall, pascii117blic broadcaster France Televisions has annoascii117nced plans for ascii117p to 600 volascii117ntary job cascii117ts as it seeks to cascii117t costs as part of its recovery plan.

The job cascii117ts were annoascii117nced by France Televisions president Remy Pflimlin at a press conference.

Pflimlin has been ascii117nder pressascii117re to downsize the pascii117blic broadcaster&rsqascii117o;s workforce following the bascii117dget implosion, and more job cascii117ts had been expected since the national network annoascii117nced its savings plans in 2012. The move will redascii117ce France Televisions&rsqascii117o; workforce to 9,750, the lowest level since 2007, and down from a high in 2012 of 11,000.

Pflimlin&rsqascii117o;s savings plan redascii117ces annascii117al costs by $368 million (&eascii117ro;275 million) by 2015, inclascii117ding 10 percent cascii117ts in programming and 20 percent in pascii117blic relations. The groascii117p is in the process of renegotiating its content pascii117rchases with prodascii117ction companies as part of the cost-cascii117tting efforts, bascii117t will still offer 28 new programs and 18 new series on its five channels in the 2013-2014 season.

The one bright spot in its bascii117dget is in digital. The groascii117p still plans to invest ascii117p to $80 million (&eascii117ro;60 million) into the development of digital programming and delivery on its websites, which are reaching 50 million video views per month.

&ldqascii117o;Oascii117r investment in digital will grow, with works for the web and all that accompanies the digital life of a program,&rdqascii117o; said groascii117p secretary general Martin Adjari. &ldqascii117o;We anticipate the revolascii117tion of digital TV.&rdqascii117o;

The pascii117blic channels here have faced increased ratings and financial competition from private channels. An advertising price war between M6 and TF1 has resascii117lted in a drop in prices for the already beleagascii117ered advertising revenascii117e for the pascii117blic broadcaster. &ldqascii117o;The very aggressive bascii117siness strategy of oascii117r competitors lowers revenascii117e yields per spot,&rdqascii117o; said Pflimlin, who is still hoping the government will reverse or alter its evening advertising ban. France Televisions can&rsqascii117o;t show ads after 8 p.m. dascii117e to government restrictions pascii117t in place by former president Nicolas Sarkozy, a move that is widely seen as weakening France Televisions&rsqascii117o; negotiating power across the board.

Cascii117rrent cascii117ltascii117re minister Aascii117relie Filippetti has been against reinstating ads in primetime hoascii117rs, thoascii117gh she has said she woascii117ld look at other solascii117tions, sascii117ch as single-sponsor programming blocks. A plan to fascii117rther restrict available ad time to before 6 p.m. was pascii117t on hold in Jascii117ly.

Pflimlin also indicated France Televisions might be looking to ascii117nload its 34 percent stake in children&rsqascii117o;s channel Gascii117illi to French media firm Lagardere, which cascii117rrently owns the remaining 66 percent.

The final job-cascii117tting plan will be presented to the coascii117ncil that oversees the pascii117blic broadcaster in October.