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Local broadcasters face major cuts and closings as Canada’s media crisis deepens

Canada Local news and journalism are around the corner as the media economist warns of a possible closure of 40 television channels and up to 200 radio channels within the next three years.

OTTAWA, ON, August 26, 2020 / CNW / – Today, the Association of Broadcasters of Canada (CAB) released “The Canadian Media Crisis and the Future of Local Broadcasting,” an economic study by Communications Management Inc. (CMI). The report envisages the possible closure of 50 radio stations within four to six months and a further 150 radio stations over the next 18 months, as well as the closure of 40 or more radio stations Canada 94 private local television stations in the next 12 to 36 months. Most vulnerable are AM stations, as well as independent and other private radio and television stations in smaller markets Canada.

“Canadian commercial television and radio is in crisis,” he said Lenore Gibson, Chairman of the CAB Board of Directors. “Without immediate action, Canada will see a wave of local TV and radio bans over the next three years. This will deny many communities a daily local media vote and will greatly reduce the variety of news choices and votes in almost every community in the United States Canada. “

Canadians have become accustomed to reliable and well-run local news and reports. According to the Reuters Institute’s 2020 Digital News Report, four of the top five news sources for Canadians are private broadcasters. However, the ability to maintain this vital infrastructure has been hampered over the past 15 years due to structural changes in the advertising marketplace and inequality in taxation and regulatory treatment of foreign-owned online media giants. This has led directly to the financial crisis facing private local television and radio stations that rely almost entirely on advertising revenue.

The shutdown of our economies, businesses and households during COVID-19 has further accelerated the economic erosion of the industry. Canada Local television and radio stations are now facing a projected decline in sales totaling over $ 1 billion in the three years between 2020 and 2022.

“For generations, local news and journalism have been vital in keeping Canadians informed about issues that matter to them, such as holding governments accountable and overseeing tax dollars,” he said Carmela Laurignano, Vice President and Radio Group Manager, Evanov Communications Inc. “If we let local news die, the health of Canadian society will be seriously affected.”

In addition to the devastating impact on Canada’s news sector, the continued reduction in local news resources also means more job losses, including, unfortunately, local journalists and news collectors. In private broadcasting, these closings could result in an estimated 2,000 job losses, or 24% of the 2019 employment level.

“Private broadcasters are doing everything they can to avoid major cuts or reductions in local coverage,” he said Robert Ranger, President and CEO of RNC Media Inc. “This would be a last resort. We don’t want to deny communities in Quebec or across the country their choice of daily local media – media that remain important pillars of our democracy and common culture. “

Canada Private broadcasters are calling for new measures to create a fairer and more sustainable future for local broadcasting and to ensure that a wide variety of editorial voices are broadcast in our provinces and territories. On July 13, 2020The CAB submitted an application to the CRTC for emergency government aid for the end of the year of broadcast August 31, 2020. To avoid station closings, Canada Private broadcasters are demanding short-term regulatory relief and new government measures to create a fairer and more sustainable future for local broadcasting.

SOURCE Canadian Broadcasting Association

For more information: D’arci McFadden, [email protected]647-293-7160

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