THE publisher of the Daily Mirror, Daily Express, and Daily Star newspapers is to *furlough almost 1,000 employees, and its management, including the senior editorial team, will have pay slashed by a fifth.
Reach, formerly known as Trinity Mirror, also owns hundreds of regional titles including the Manchester Evening News, as well as the Scottish Daily Record and the celebrity magazine OK!
The company has said it intends to furlough 20 per cent of 4,700 staff – 940 – during the coronavirus crisis. Reach’s top management including the ‘most senior editorial team,’ headed by the group editor-in-chief, Lloyd Embley, will take a 20 per cent pay cut and all other employees will have their pay cut by 10 per cent.
The company has also suspended bonuses this year, scrapped the dividend and will no longer be publishing financial guidance.
Trinity Mirror, which owns the Daily Mirror and hundreds of regional titles, bought the publishing assets of Richard Desmond’s Northern & Shell, which includes the Daily and Sunday Express, for £126.7 million in February 2018.
*What is furlough?
Furloughing is designed to support firms that have been badly hit by the coronavirus, and to prevent mass unemployment the government will temporarily help pay up to 80 per cent of the wages of people who can’t do their jobs, to help companies retain them.
Being furloughed means employees are kept on the payroll, even though they aren’t working.