CBC Cuts: 2012 Budget Could Mean Hundreds Of Job Losses

Posted: 03/28/2012 5:46 am Updated: 03/28/2012 9:54 am

Cuts to CBC funding expected in the upcoming federal budget could have dramatic implications, touching everything from popular television programming to foreign news bureaus and eliminating hundreds of jobs, observers predict.

Though the CBC declined The Huffington Post’s request for comment in advance of the budget, it is widely anticipated that Mother Corp.’s federal funding could be trimmed by upwards of 10 per cent — or some $110 million of the $1.1 billion in direct federal funding it receives.

First reported by The Huffington Post in September, the prospect of a 10 per cent cut has over the last month become “a very consistent rumour” at Canada's public broadcaster, says Mary Darling, executive producer of the network’s hit TV show, Little Mosque of the Prairie.

In addition to stoking concern among CBC employees, Darling says the possibility of significant belt-tightening is contributing to widespread uncertainty among the legions of independent producers, such as herself, who create the network’s English language dramatic programming.

“People are beyond tense. This is our livelihood. This is how we make our living and send our kids to school,” said Darling, who alongside husband Clark Donnelly runs Toronto-based Westwind Pictures, the company behind Little Mosque.

Currently in its final season, the sitcom won’t be affected by looming cuts. But if the rumours are true, Donnelly predicts the network won’t pick up similar programs in the future, putting several programs Westwind is currently developing in peril.

“Ten per cent is enormous,” he said, adding that if he had to pitch the show under those circumstances, “I don’t think Little Mosque would have been made.”

Former CBC president Robert Rabinovitch, who was at the helm when the network took on what he calls “a soap opera with a message,” concurs.

“That’s exactly the type of show that a public broadcaster should be doing, but it’s risky, and they won’t be able to take that risk if the money’s taken out of their system,” he told HuffPost.

Rabinovitch and others say it’s possible the 10 per cent figure is a deliberate exaggeration on the part of the government to “make a five per cent [cut] more palatable.”

But as he points out, it’s also possible that the axe could cut even deeper if there are trims to the Canada Media Fund, of which the CBC is the primary beneficiary, or the $60-million annual programming grant the network has received for the last decade.

“They could get hit through the front door and the back door,” he said.

All of which could have serious implications for the public broadcaster.

In addition to prime-time programming, sources familiar with the file told HuffPost the upcoming cuts may lead to the closing of some foreign bureaus and will necessitate employee layoffs.

Barry Kiefl, head of the independent Ottawa-based firm Canadian Media Research Inc. (CMRI), cautions against “taking it for granted that there’s going to be a 10 per cent cut,” before details of the budget are revealed on Thursday. But he maintains a trim of that magnitude could result in the elimination of 1,000 jobs.

According to Kiefl, who was the CBC’s research director throughout the ’80s and ’90s, about $1 billion of the CBC’s estimated $1.7 billion operating budget is tied up in salaries.

“You can’t cut things like the payment to the NHL for Hockey Night In Canada, and you can’t cut payments to some of the long-term programming contracts that they’ve got, so you’re going to have to cut staff,” he said.

And because of hefty severance obligations to senior managers within the organization, those reductions would be felt most acutely among more junior employees, says Ian Morrison, spokesman for the non-profit group Friends of Canadian Broadcasting.

“Ninety per cent of the cuts are going to come out of people [...] who are actually making programs that Canadians love,” Morrison said. “It will be very visible and audible.”

There would also be broader implications.

In a 2011 report, Deloitte estimated the CBC adds $3.7 billion to the economy annually, noting that the network’s “regional and local activities contribute to [...] local economies and creative clusters.”

“CBC/Radio-Canada creates additional economic value for other broadcasters and [the] wider creative sector in Canada through its role in implementing new technologies, promoting digital content and third-party distribution by its support to Canadian artists,” the report added.

For its part, the CBC told HuffPost that when the budget is announced, it will “communicate the impact to our employees as soon as possible.”

But as management grapples with where to find cost-savings, former CBC executive Jeffrey Dvorkin urges the network to move away from its tendency to spread cuts across the entire organization in the face of belt-tightening.

“In order for any media organization to go through this procedure, you have to figure out what’s important to you and to your audience,” he said. “That causes management to be really focused on the priorities of the organization.”

Quick Poll

What should we do with the CBC?

VOTE

FOLLOW CANADA BUSINESS

Cuts to CBC funding expected in the upcoming federal budget could have dramatic implications, touching everything from popular television programming to foreign news bureaus and eliminating hundreds o...
Cuts to CBC funding expected in the upcoming federal budget could have dramatic implications, touching everything from popular television programming to foreign news bureaus and eliminating hundreds o...
 
 
  • Comments
  • 250
  • Pending Comments
  • 0
  • View FAQ
Post Comment Preview Comment
To reply to a Comment: Click "Reply" at the bottom of the comment; after being approved your comment will appear directly underneath the comment you replied to.
View All
Favorites
Recency  | 
Popularity
Page: 1 2 3 4 5  Next ›  Last »  (5 total)
06:01 PM on 04/01/2012
I used to watch the CBC every day and get my news there every day. Not any more. We are being hit by the Internet. At least you had a $1Billion budget to begin with so 10% cut is not so bad. The rest of us in the private sector do not have your pensions or benefit plans. We also did not hear our voice or point of view on the CBC. Business owners - not corporations - have had to listen to the CBC and not hear their point of view.
03:54 PM on 03/29/2012
Of course this has nothing to do with the CBC covering the Robo-call issues and demanding answers from the government. Nothing at all. lol
08:20 AM on 03/29/2012
Propaganda has its' price and the CONS have the money to pay for it.
photo
db44
From My Perspective
07:55 AM on 03/29/2012
The CBC has already started their whining in advance of the federal budget. With speculation that some departments and agencies could be facing reductions of up to 10%, the CBC is mobilizing their usual panic scenarios. With so many Canadians facing their own financial struggles and the economy slowly recovering, the CBC should welcome a budget cut rather than the more deserving option of privatization.
photo
HUFFPOST SUPER USER
tmzrules
04:25 AM on 03/29/2012
Bravo, I wouldn't want to end up like up greece. Trimming the cbc will make it run more efficiently. Those that lose their jobs will find new jobs easily.:)
HUFFPOST SUPER USER
lulex
Made in Canada
09:13 PM on 03/28/2012
I love the CBC and I do not support the funding cuts. Public media is absolutely vital to protect. It's a key part of living in a democracy. It's about our issues, our topics and the stories that make up our culture as reflected in non commercial media content. CBC Radio and Television promotes dialogue on key issues affecting our nation fostering debate and discussion like no other. Where else can you simply call in and have your voice heard coast to coast? Their investigative reporting is absolutely vital to protect. I would gladly pay more taxes to support the CBC if need be.
06:12 PM on 03/28/2012
Harper's underlying philosophy since his formative years has been to reduce the role of the Federal government to its core (beyond ,let's say, defence I'm not sure what the definition of core is). Most of his actions are consistent with that philosophy.

To those that say that his support is less than 40% with the remaining 60% to the left of him (and bitterly opposed to that shrinking role) all that needs to be done is to change the "first past the post" system that we presently use to elect those that govern us.

Good luck.
photo
HUFFPOST SUPER USER
Doogs62
To see by faith is to shut the eye of reason
05:58 PM on 03/28/2012
Great! Even less Canadian content on the boobtube. I guess we need to make some room for FOX north and the great SUNMedia expansion after all they are the apex of entertainment and informative news shows dedicated to bringing us the best of Canadian broadcasting. Nice work at the job creation there Ottawa.
photo
HUFFPOST SUPER USER
Ascoli
05:56 PM on 03/28/2012
What a disgusting picture of a disgusting mentality..............cigar chomping rich
This comment has been removed.
05:25 PM on 03/28/2012
It's interesting that the Conservatives have a long track record of cutting arts and culture programs that have been able to prove they bring more in raw revenue than they receive through funding. They employ hundreds if not thousands of individuals and have a direct, measurable and positive impact on the culture - every year the CBC raises millions of dollars for charities ranging from local food banks to the Red Cross, cancer societies, etc.

And the Conservatives are well aware of this. While their "target" may be the left-leaning Canadians who tend to favor the CBC, the collateral damage will include many; those below the poverty line who rely on the charity drives; immigrants and those of minority cultures who find representation in the programming the CBC provides; students of schools who collaborate with the CBC for education grants or direct hands-on experience as interns in the journalism or broadcasting field; the list goes on.

Oil companies across Canada receive MORE government money through subsidies and handouts (to the tune of $1.4 billion compared to the CBCs $1.1 billion.) $3 billion dollars go to farms through agricultural subsidies - farms that bring in less than $250,000 a year. I'm not suggesting we go cut farmers or oil companies because they all serve a purpose in this economy. I'm suggesting the CBC serves the same purpose, pulling a hefty $3.7 billion annually.

Any targeting of the CBC while looking at the raw numbers is purely ideological.
photo
Billk29
Justified Ancient of Mu
09:01 PM on 03/28/2012
Conservatives,be they federal or provincial, are proven cretins who care nothing for the arts or education.
12:14 AM on 03/29/2012
But it goes further than that. This isn't just a blatant disregard for arts and education - it's a blatant gutting that ignores any sort of contribution made by these programs. Even if the CBC could prove that a 10% cut to their funding would result in a 30% loss in revenue, jobs and charity drives - representing a net loss to the country - the Conservatives would follow through. What's worse, they appear to do so happily.
photo
HUFFPOST SUPER USER
mchlmack
Ban Public Whistling
04:57 PM on 03/28/2012
Why not cutbacks at CBC? They're not immune.
photo
HUFFPOST SUPER USER
Doogs62
To see by faith is to shut the eye of reason
06:25 PM on 03/28/2012
Why not cutbacks on The Hill. Oh! They are immune.
07:44 PM on 03/28/2012
Not like the immunity of the oil and gas sector from multi-billion dollar government subsidies, that's for sure.

Let's quit the insulting fiction about free-market economics, can we? We do not now have, nor have we ever, had a free-market, unregulated economy. It's just a matter of who the government of the day decides are the winners and losers.

This government has made its choice: the quick-buck, resource-extraction moguls who don't give a damn about the environmental or health impacts of their activities. Harper has shown his intent to completely abrogate his government's sworn duty to act as stewards for present and future generationsof Canadians so that their buds pimping tar sands (yes, they have always been referred to as tar sands, before the industry's attempt at greenwashing) can strike it rich.

What else do you call it when Embridge has to complain to the feds that the approval process for the tar sands/west coast pipeline IS MOVING TOO FAST!?

That alone speaks volumes to any sentient being.
photo
HUFFPOST SUPER USER
Tony Moschetti
04:35 PM on 03/28/2012
Okay, now if we can just see the same thing happen to the BBC, PBS, NBC, and CBS, we might be able to get the remaining to begins telling us the truth!
04:28 PM on 03/28/2012
who needs the cbc we have sun tv now.
06:01 PM on 03/28/2012
Sun TV? They're still on the air?
This user has chosen to opt out of the Badges program
photo
north of 60
Quando Omni Flunkus Moritati
03:47 PM on 03/28/2012
The CBC has become far too 'top heavy' with many executives eating up the budget with outrageous salaries and benefits. CBC is not an objective source of news and far too many of it's news readers openly display political bias. The CBC has become irrelevant for many southern/urban viewers where other broadcasters compete. The CBC can deliver programming in the rural and northern areas where the other broadcasters can't operate profitably.
HUFFPOST SUPER USER
Voices in the Wilderness
04:25 PM on 03/28/2012
Ummm .... could you tell me how efficient private enterprise is at NOT having executives with "outrageous salaries and benefits"?

Admittedly, you wouldn't get any"bias" from FOX on the voting fraud issue. In fact, they would probably sugar coat it. But does covering an important news issue which harms a neo-con government automatically constitute "bias"?
photo
HUFFPOST SUPER USER
Nathan Ottenson
The Christian Right are neither
08:03 PM on 03/28/2012
So because the readers of CBC are displaying political bias it is not an objective source for news? I will agree that many of the people on CBC news world display political biases from time to time but CBC (tv and radio) go out of their way to get many different viewpoints on any given issue.
02:13 PM on 03/29/2012
I have had a major problem with "go out of their way to get many different viewpoints on any given issue." This is fine if the different points of view are expressed in the same program and each party is given the same opportunity to express their view" The reality is that there may be "balance" across many programs but you would have to be a very regular listener to pick up on that. I have heard shows with a representative of some mid-east cause being given carte blanche to say what ever they want unchallenged. Some (all) of this is clearly propaganda and not factual. So CBC are giving air time for propaganda and only one or two shows later does the opposing point of view get expressed, and that person is cross-examined and made to sound unreliable. If the audience is intelligent and analytical they can find their own truth. However, most people rely on CBC too much and think that just because it's on CBC, it must be true.