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KM Group begins new round of redundancy talks
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Kent-based regional publisher the KM Group, has announced it is looking to make almost 100 staff redundant, six months after its last cuts.

The recession-hit newspaper group publishes paid for newspapers, including The Kent Messenger  and the Extra series of free newspapers.

It told its staff yesterday that it was looking at redundancies for 95 of its employees, as well as a further 64 to go which are involved in what the company describe as ‘outsourcing’.

Bosses told staff the economic climate has deteriorated since its first phase of cut backs last autumn when 59 people lost their jobs.

The fourth generation family-owed company began in the 1880s and grew successfully.

In the 1990s it began a huge investment in local radio for the parts of the county under the KM-FM banner.

The historic company has moved into the 21st century, embracing new technology and the internet.

But as sales of paid-for newspapers fell across the country, the KM Group saw similar trends in Kent and consequent loss of revenue.

Last year 59 jobs went as the company embarked on a restructuring programme to combat falling revenue and “deal with the upheaval affecting all media businesses” stemming from the economic downturn.

Also, offices in Dover, Faversham, Maidstone, Sittingbourne, Tonbridge and Tunbridge Wells were earmarked for closure – yesterday staff at its Folkestone and Thanet offices were told they are being considered for closure.

It is understood that the company – which has its own printing press at Larkfield - is planning to outsource its printing, mailroom and newspaper and leaflet distribution operations.

Managing Director Graham Mead said in a statement that the company had no option but to move to the next stage of its restructure plan.

He said: “If we had any other option but redundancies we would take it, but the reality is that we have to restructure our business to be able to operate efficiently in this challenging environment and to position ourselves for the future. We will still have around 400 staff.”

Chairman Geraldine Allinson, great grand-daughter of the founder, said that the measures were necessary for the long term future of the company.

“As I said last year, we hate to make anyone redundant but we really have no alternative given the current state of the economy.

”Our proposal to outsource our printing was a particularly difficult one to make with the company’s long and successful history of printing our own titles.”

The company will still employ around 400 staff in the county afterany cut backs.

POSTED: 27/02/2009 11:30:00

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