Layoffs Come At CBS Radio
By Ken Tucker
Wednesday, July 12 2006
Wednesday, July 12 2006
Published on AllBusiness.com
The expected layoffs at CBS Radio have come.
While CBS won't comment, a source familiar with the situation told Billboard Radio Monitor that the company is eliminating about 115 out of more than 8,500 full and part-time positions at its 179 stations. Another reliable source tells us that adult hits WCBS-FM New York GM Chad Brown and modern rock KROQ Los Angeles GM Trip Reeb are among those who have lost their jobs. Additionally, Monitor hears that the entire airstaff of WJMK Chicago's oldies-formatted HD2 side-channel has been let go.
Billboard Radio Monitor has obtained an internal memo from CBS Radio chairman and CEO Joel Hollander to his staff. In it, Hollander explains that the layoffs were "part of an initiative designed to manage costs as we move to reshape and restructure our radio group.
"Reducing headcount is never easy, and as we do so, I want to assure you of several things," Hollander continued. "First, this is an altogether necessary step, one designed to ensure our competitiveness and position us for future growth in a changing business. While any number of such cutbacks is painful, today's move affects a small overall percentage of CBS Radio employees, and I don't anticipate additional plans along these lines."
Hollander also addressed CBS' planned divestiture of stations in the memo, saying "We are also sharpening our portfolio of properties to make sure that each is part of our overall strategy. This will help us manage costs better, and deploy our resources where they will help us deliver on our true potential.
"It is also important for you to know that these recent announcements actually reflect CBS's confidence in the radio industry, and in CBS Radio's ability to deliver superior results under a new, creative, lean model."
While CBS won't comment, a source familiar with the situation told Billboard Radio Monitor that the company is eliminating about 115 out of more than 8,500 full and part-time positions at its 179 stations. Another reliable source tells us that adult hits WCBS-FM New York GM Chad Brown and modern rock KROQ Los Angeles GM Trip Reeb are among those who have lost their jobs. Additionally, Monitor hears that the entire airstaff of WJMK Chicago's oldies-formatted HD2 side-channel has been let go.
Billboard Radio Monitor has obtained an internal memo from CBS Radio chairman and CEO Joel Hollander to his staff. In it, Hollander explains that the layoffs were "part of an initiative designed to manage costs as we move to reshape and restructure our radio group.
"Reducing headcount is never easy, and as we do so, I want to assure you of several things," Hollander continued. "First, this is an altogether necessary step, one designed to ensure our competitiveness and position us for future growth in a changing business. While any number of such cutbacks is painful, today's move affects a small overall percentage of CBS Radio employees, and I don't anticipate additional plans along these lines."
Hollander also addressed CBS' planned divestiture of stations in the memo, saying "We are also sharpening our portfolio of properties to make sure that each is part of our overall strategy. This will help us manage costs better, and deploy our resources where they will help us deliver on our true potential.
"It is also important for you to know that these recent announcements actually reflect CBS's confidence in the radio industry, and in CBS Radio's ability to deliver superior results under a new, creative, lean model."