Fairfax outsources jobs to lower-wage economy

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Fairfax Media says 13 sub-editing jobs are being axed in its Financial Review Group, which includes the flagship Australian Financial Review plus several business magazines.

The Sydney-based roles are being outsourced to the Australian media company's New Zealand operation, whose properties include Stuff, The Dominion Post, Christchurch Press, Waikato Times, Sunday  Star Times, various magazines and several subbing, layout and writing "hubs" that span multiple titles.

In June last year, Fairfax confirmed plans to shift 65 sub-editing jobs for its Australian regional newspapers to its New Zealand "sub-hub".

The move sparked wildcat strikes. Journalists and sub-editors on this side of the Tasman have a lower rate of union membership.

In a statement, Fairfax said: “FRG, like every media business in the world that is committed to its future, is changing and improving the way it delivers journalism and services.

"Its cost base is being reshaped to match the business and it is changing the way it delivers its journalism and services to better meet the needs and expectations of its readers. 

"The proposed copy sub-editing arrangements would assist in the streamlining of the business and deliver significant cost efficiencies while ensuring the masthead, magazine titles and digital platforms remain high quality news sources of choice for FRG’s loyal readers.”

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5 Comments & Questions

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They've been outsourcing for some time - In the Waikato they tout themselves as "your local paper" but a lot of the ad makeup and stuff is sent to India. Local, my backside...

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Yep - How do they sleep at night telling such porkies?

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Crikey, when I read the headline I thought they were talking about some Third World country.
But I find they are talking about good old NZ.

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John Key's plan to make us a low-wage economy for foreign companies to exploit is clearly working.

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I have spent the Christmas holidays back in the UK.
Each morning the BBC broadcasts a programme called 'Wanted Down Under.
It shows Poms trying out life in Australia and New Zealand before deciding whether or not to emmigrate.
Quite often the wages in Australia are double to what they are in the UK.
This morning, someone even said they might earn double in Auckland as opposed to the UK.
If you think the NZ economy is bad, try Britain, where wages and living standards are stagnating.
Contrary to what we might think, it might be worth while for employers in Australia and New Zealand to outsource to the UK, something quite the reverse of a few years ago.

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