While Singo, Tony Bell and George Buschman seem delighted with the 2UE/2GB back-room merger plans many others, led by Federal MP, Peter Andren, and now NSW Premier Bob Carr, are dead against it. Laws and Carlton even mentioned a strike in an on-air discussion. The ABA has also expressed unease at the plan and the ACCC will “look carefully” at the proposal.
When the announcement of the 2UE/2GB newsroom merger was made to Southern Cross Sydney staff there were tears in the newsroom as bewildered reporters wondered about their jobs and about their ability to compete with their rival under the new arrangement.
Speaking at a press conference in Canberra, NSW Premier, himself a former radio news journalist, has criticised the loss of newsroom jobs, saying:
“I can’t believe it that two profitable radio stations are saying `we’re going to cut costs by just running the one news room… if, instead of all these microphones you’ve only got one, and that covers all the commercial broadcasters, that is a very unhealthy thing, it’s not good for democracy, and we need diversity in the radio medium.”
Other reaction has included a strong response from the Media Alliance’s Chris Warren, who believes the joint venture should be investigated, and a warning from the ABA that they will “look closely” at the proposal (see earlier story).
2UE broadcasters Mike Carlton and John Laws have both criticised the joint venture, especially the merger of the two newsrooms. Carlton said he was concerned with potential interference in news by Alan Jones (Click here
to listen – mp3 file, 1Mb).
An angry Laws said, “it seems like a strange way to do business,” and commented on air today several times about the benefits of having “our own newsroom” during crosses to various 2UE reporters during his program. When he spoke to Carlton on air about the merger of the two newsrooms he said he felt “like walking out.” (Click here
to listen – mp3 file, 1.4Mb). Laws was not consulted about the merger during his recent contract negotiations with Southern Cross, where he signed on for another 7 years.
With the new Media Bill due to come before Federal Parliament today, the Proposal is expected to generate some more heat in an already hot topic.
The “share of voices” argument, which would guarantee diversity of newsroom views, will come into focus again with this decision, and at least one MP is considering tabling amendments to the Bill against such actions.
Federal MP Peter Andren, who was a radio news editor before becoming a parliamentarian, is one parliamentarian who was not happy with the spirit of the joint venture. He told radioinfo:
“While the joint venture might be presented as a stand-alone and doesn’t
contravene ABA ownership limits or regulation, the spirit of the act is
certainly broken.
“It is interesting to note that 2UE and Sydney radio Services will be
co-located in Pyrmont. This is a very cosy arrangement for a supposedly
independent company providing services, including news, to two competing
companies.
“I believe it compromises the editorial independence of all three licensees,
makes a mockery of competition in news ( and I would suggest other more
commercial activities like advertising etc). It also narrows the variety of
voices, stories, opinions etc available to the three audiences.
“It is a cynical interpretation of the act which requires a licensee to
“contribute to the provision of an adequate and comprehensive range of
broadcasting services in that licence area”. The “contribution” here becomes a
collegiate product by a supply company jointly owned by the licensees.
I have
argued that the pre-1992 Broadcasting Laws requiring each licensee to provide
“adequate and comprehensive” news and other services should be restored. In the
absence of that, the licensees should be required to run stand-alone news rooms.
How would the public react if Murdoch and Fairfax established a joint company to
provide copy and stories to their papers?
The new Joint Venture company will be run by key 2GB staff: 2GB’s Louise Barratt will be Head of Sales (she was formerly 2UE Sales Manager); 2GB’s Justin Kelly will head the newsroom and 2GB’s Bo Medved will take on the role of chief accountant. Sam Chisholm will be chairman of the new JV company.
Justin Kelly has been over at 2UE today in meetings about the newsroom, and other executives are currently in discussions about the joint venture.