Ninemsn has axed 5% of its staff, culling 20 positions in what is the first major blow for the online news portal since the appointment of Joe Pollard as CEO in September.
In a case of history repeating itself, the axing of 20 staff from mobile sales, content and general sales positions comes just a year after nine people were and redundant across a range of business areas.
The internet portal, a joint venture between PBL Media and Microsoft with a staff of about 400, maintains the 5% staff cut is not a reaction to economic conditions and is instead about restructure and efficient running of its online and mobile portal business.
This is despite a sting of senior departures last year, including former CEO Tony Faure and commercial director Jason Scott, and a fall in its online advertising share. According to the most recent figures from research market researchers Frost and Sullivan figures, Ninemsn's share of the online advertising market fell to 20.7% in the 2008 calander year, from 22.6% in 2007, though this figure does not include revenue from search, mobile or classified.
Since Pollard took up the hot seat at the end of last year she has pledged to grab the company by the horns and move it forward.
The cuts have been expected since Pollard took up the hot seat last year, with speculation upon her appointment that further cuts and restructuring at the portal would take place. B&T Today understands that the cull of mobile sales positions comes as the company integrates its mobile and online sales teams. In house web development group, 9 Pixel, has also been cut with staff merged into Ninemsn’s design team.
This wave of job losses is believed to be a one-off move with no other redundancies anticipated in the near future.
In November last year competitor news portal Yahoo!7 also announced a number of staff cuts in Australia.
