TV18 to merge broadcast ops; cut 12% jobs

Leading business news broadcaster TV18 today said it will merge the broadcast operations of CNBC TV18 and CNBC Awaaz, which will result in a 12 per cent cut in its permanent staff base.

Under the plan, the company will merge the logistics, back-end and broadcast operations of these two channels, said a company release. However, it added that both the channels will continue to maintain their distinct identities.

Only some of the over-lapping and common operations at the back-end are being merged, it added.

The company has not set a specific time-frame for the proposed merger.

"This move will realise significant cost synergies between the operations, and about 12 per cent permanent positions in the company would be rendered surplus. The company will take a one-time extraordinary restructuring charge in the current quarter, and the synergies are likely to result in savings from the next quarter," it said.

TV18 officials were not available for comments.

The restructuring will create a business news infrastructure spread across eight business bureaus and two broadcast hubs -- Mumbai and Delhi.

The restructuring is expected to help the company optimise about 20 per cent in annual operating costs.