January 24, 2012

From bad to worse in Carlisle as yet more staff face job losses at TMD

Posted by Phil Groom under Christian Book Trade, News | Tags: , , , , |
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HOPES THAT the recently announced sale and privatisation of Trust Media Distribution would secure the future and bring stability to the organisation have been crushed as yet another round of redundancies has been announced. Writing in the Carlisle News & Star on Saturday, Matthew Legg, the paper’s Business Editor, describes staff as shocked by the news:

News & Star, Carlisle, 21/1/2012: Job Under Threat at Carlisle Book Firm after Takeover

News & Star, Carlisle, 21/1/2012: Jobs Under Threat at Carlisle Book Firm after Takeover

JOBS UNDER THREAT AT CARLISLE BOOK FIRM AFTER TAKEOVER
Exclusive by Matthew Legg Business editor

Last updated at 10:21, Saturday, 21 January 2012

Seventy workers at a Carlisle bookseller have been told their jobs are under threat after the firm was taken over.

The new owners of Christian book distributor Trust Media – formerly Send the Light (STL) – have begun redundancy consultations with staff as they look to streamline the business.

The firm has not revealed how many jobs will eventually go, but the figure will not exceed 20 because the company has not entered the formal 90-day consultation period required to lay off more than 20 workers at once.

Bosses say the cuts are essential to secure the future of the Kingstown business and that they hope the bulk of the job losses will come through voluntary redundancies and retirements.

Staff are said to be shocked at the news. They are expected to discover their fates next week.

The report goes on to cite Paul Davies, a member of TMD’s senior management team, who describes the situation as “an unfortunate necessity” to ensure that the company continues trading in Carlisle “securing a substantial number of jobs in the process.”

In a further report by Lisa Campbell in the Bookseller yesterday, Pete Barnsley states:

Since January there has been a big injection of capital so for the business this has been a really positive move. But it has also brought with it a review of the whole business which includes consultations with staff. There will be a degree of staff reduction but we don’t know how many yet. It will be fewer then 20 positions.

Both reports refer to the company’s change of focus as it seeks to work with a wider customer base beyond its traditional role as primarily a supplier to the Christian retail trade, mentioning WH Smith and Amazon in particular. Inevitably, however, the current situation begs the question of whether or not a “streamlined” company with fewer staff will, in fact, be capable of serving that wider — and more demanding — marketplace as well as continue to efficiently serve its existing customers?

 

October 29, 2011

18 UK Jobs Lost as Kingsway/David C Cook Restructure for Global Marketplace

Posted by Phil Groom under Christian Music, Distribution Services, News, People News | Tags: , , , , , , , , , , , , |
1 Comment 
David C Cook/Kingsway Key Stakeholder Letter 21 Oct 2011 (pdf, 111kb)

David C Cook/Kingsway Key Stakeholder Letter 21 Oct 2011 (pdf, 111kb)

EIGHTEEN UK WORKERS HAVE PAID THE PRICE in job losses as the long-term globalisation strategy behind Kingsway’s merger with David C Cook has been “accelerated” following the group’s more recent acquisition of Integrity Music.

Emphasising the level of expertise and investment involved alongside the strength and stability of the group’s new distribution system, Cris Doornbos, President and CEO of David C Cook, explains the thinking behind the changes in a Letter to Our Key Stakeholders dated October 21st:

As a key stakeholder of David C Cook and Kingsway, we want you to be among the first to hear news of some changes we have recently made to our UK operation, Kingsway Music and Distribution.

In way of background, we developed a five-year strategic plan earlier this year which laid out specific strategies required to increase our ministry impact and best advance our mission: “To equip the Church with Christ centered resources for making and teaching disciples who obediently transform today’s generations.”

The plan included, among other things, establishing one global worship ministry unit as we see worship music as one of the greatest tools we have to equip the global church. We have long had a vision to utilize music as a key tool for creating disciples around the world, especially as over half of the world’s population entered the new millennium unable to read. Our recent acquisition of Integrity Music has made it possible for us to accelerate our goal and take another important step forward.

The five-year plan also included the strategy of leveraging the expertise in our Canadian distribution business to support growth. Over the past several years, we have made significant investments in both our Canadian distribution operation and our United Kingdom distribution operation. We now have a new warehouse management system in place in both locations coupled with a new ERP system that has proven to be highly efficient and world class. Together with our experienced and knowledgeable team, we are in the advantageous position of having processes and systems that are highly effective, and allow us to offer our current and potential publishing and music partners a strong and stable distribution service in both Canada and the United Kingdom.

The letter goes on to spell out a number of specific changes being made as the plan is implemented, concluding, sadly, with job losses in the UK:

  • Kingsway Music and Kingsway Distribution separated;
  • Kingsway Music and Integrity Music combined to create “one music ministry unit with two labels” headed up globally by Ryan Dunham with Jonathan Brown taking over from John Paculabo at Kingsway Music UK;
  • Creation of a single global distribution service operating from bases in the USA, Canada and the UK, headed by Greg Tombs, Managing Director of Global Distribution;
  • John Paculabo becomes Managing Director of Global Song Development, with specific responsibility “for seeing that our songs are being sung in local churches around the world, while working to nurture and develop indigenous writers and artists in other nations”;
  • 18 jobs in the UK “eliminated due to new operational efficiencies and redundancies in roles”, an outcome described as “necessary, but heartbreaking.”

My thanks to John Paculabo for providing the information upon which this report is based. John himself explains further:

We intend to remain focused and dedicated to the development of worship songs and worship writers on both sides of the Atlantic, a point which I would strongly emphasize.

The net result of [these realignments], plus the poor economic trading conditions that we are all experiencing, has brought about the redundancies of last week. These decisions are painful and difficult as Kingsway like so many other Christian ministries fosters a family atmosphere, and so it is true to say that friends and family have all been affected by these job losses.

Please keep those who have lost their current livelihood in your prayers.

Pray too that Kingsway/David C Cook’s globalised service strategy and systems prove more resilient and robust than Biblica/IBS-STL’s similar exercise back in 2008/2009.

 

March 9, 2011

STL UK: Up to 30 staff face redundancy as first fiscal year yields poorer results than anticipated

Posted by Phil Groom under Christian Suppliers, News, STL | Tags: , , , , , |
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Trade Announcement from John Ritchie Ltd 08/03/2011 (pdf, 53kb)

Trade Announcement from John Ritchie Ltd 08/03/2011 (pdf, 53kb)

STL DISTRIBUTION, CARLISLE, have entered another consultation period with staff, this time in which up to 30 — just under one quarter — of the 124-strong workforce face redundancy as the company comes to terms with poorer financial results than anticipated over the last year.

All Carlisle based staff have had face to face meetings with senior management and departmental representatives are being appointed for ongoing consultations. It is hoped that a significant proportion of the reductions will be achieved through voluntary redundancy, but approximately 15% of the workforce is likely to face compulsory redundancy once the consultation period ends in April. For all concerned, however, the situation marks yet another traumatic phase in the company’s recent history.

In a trade announcement issued yesterday, CEO Ken Munro reviews some of the challenges faced by the company over the past year, noting that the trade overall is in a period of transition as it struggles with a continuing decline in high street sales combined with increased internet trading and the emergence of new technologies:

… the trade in which we operate is experiencing a period of very significant transition. A combination of a continued decline in overall High street sales, the proliferation of internet traders and the rapid evolution and implementation of new technologies have driven unprecedented change, challenges and opportunities within our sector.

In addition to the factors noted above the prevailing general economic climate combined with unusually harsh winter weather in December has exacerbated the many difficulties that the Trade was facing. STL distribution was not immune from these difficulties and as a result revenues for 2010 were less than planned. As a consequence we face important challenges as we enter the second fiscal year of ownership, challenges which will be addressed in order to secure the future success of the business.

In light of the issues outlined above we are throughout the month of March conducting a consultation with our staff to ensure that we effectively manage costs and importantly, align our business and competencies to a rapidly re-shaping industry landscape.

The company expects to emerge from the consultation in a strong enough position to rise to future opportunities with a clear focus on delivering the best possible customer service and supplier partnership.

The announcement closes with a call to prayer:

Please remember all staff within the group in your prayers as we move through this process.

  • My thanks to Pete Barnsley at STL for providing this information.
 

May 13, 2010

Saint Andrew Press under threat as Church of Scotland seeks to address deficit

Posted by Phil Groom under Christian Publishers, News | Tags: , , , , |
[3] Comments 

Church of Scotland publishing house Saint Andrew Press, possibly best known as publisher of William Barclay’s Daily Study Bible series and several of Bishop Nick Baines’ books, is under threat of closure as the Church of Scotland seeks to address a major budget deficit of £1.2 million, according to a report posted on Tuesday this week by Ian Swanson in the Edinburgh Evening News:

A ROW has broken out over plans by the Church of Scotland to shut down its publishing arm as part of a cost-cutting exercise.

The Saint Andrew Press, which publishes general as well as religious books, is under threat from the Kirk’s mission and discipleship council, which is trying to address a £1.2 million budget deficit.

But the move, part of a cuts package involving ten job losses, is being opposed both inside and outside the church. The former Bishop of Edinburgh Richard Holloway said it looked like the Kirk was “pulling up the drawbridge”.

Nick Baines’s Blog | Nick Baines on twitter

 

September 19, 2009

Scripture Union to Shed up to 25 Jobs

Posted by Phil Groom under Christian Publishers | Tags: , , , |
1 Comment 
SU Press Release 16/09/2009

SU Press Release 16/09/2009

Scripture Union, perhaps best known as publishers of daily Bible reading notes and holiday club resources, issued the press release shown below on Wednesday 16th September, announcing up to 25 job cuts in a major shake up intended “to create a more cost-effective, flexible, mission-focused organisation”.

Consultations with staff — any of whom could be affected, according to the press release — are in progress and should be concluded by November, the plan being to bring the “new model” for the organisation into effect in January next year.

Scripture Union announces plans for a flexible, digital future

The leadership of Scripture Union in England and Wales today announced a major re-shaping to create a more cost-effective, flexible, mission-focused organisation. The aim is to minimise overheads and drive resources from fixed costs into longer-term development of front-line mission through field work, publishing and holiday and mission events.

Scripture Union’s publishing arm will build on its ground-breaking commitment to digital resources, though its much-valued Bible Reading Guides and resources for churches will still be available in printed format.

Face-to-face work with children and young people will be increasingly managed and funded regionally, allowing for greater flexibility and responsiveness to local needs and opportunities. Central costs will also be pared down, with head office positions being reduced.

This is the most radical re-shaping of the organisation in a generation following on from the strategic investment in digital ministries. To achieve it the movement will shed some staff posts and seek to increase the number of locally based associate roles. The move is likely to reduce the number of existing staff posts by 25. Any employees could potentially be affected, and any that are will be offered help to find new work.

Commenting on the developments, Scripture Union Chief Executive Keith Civval said ”Our calling to make God’s good news known to children, young people and families hasn’t changed. We’ve been carefully seeking God for the way forward and this move is about being faithful to our heritage in a new context. These are tough recessionary times and we can’t do everything, so we are choosing to invest limited resources wisely.”

Scripture Union has begun a comprehensive consultation with its staff, which will be concluded by the end of November. The new model will come into effect in January 2010.

 

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