Up to 90 jobs to go at TVNZ to 'safeguard the future'

Up to 90 jobs could be lost at TVNZ as a result of economic fallout from COVID-19.

On Monday, the state broadcaster announced it will consult with employees about proposed changes, under which 70 to 90 jobs will go.

Chief executive Kevin Kenrick said that COVID-19 had impacted advertising revenue. The changes are required to protect the financial sustainability of the business.

"TVNZ's revenue dropped 30 per cent during the nationwide lockdown and we expect revenue momentum to recover gradually over the next 18 months," Kenrick said. 

Savings in discretionary spending, executive remuneration, capital investment projects and deferred content productions helped to cushion revenue losses this quarter.

"We now need to resize our business to safeguard the future of TVNZ," Kenrick added.

TVNZ expects to confirm the new structure by early July and said it is focusing on supporting its people.

The latest announcement follows news of staff cuts and store closures across multiple businesses, including Bidfood, Max Fashions, The Warehouse Group, Smith's City, Bunnings and Trade Me

The media industry has reported a significant drop in advertising revenue as a result of COVID-19. In May, Mediaworks announced up to 130 jobs would go across its radio, sales and out-of-home divisions.

Expecting April advertising revenue to be 50 percent lower than in April 2019, NZME cut over 200 positions under a "wide-scale workforce restructuring project".