OTTAWA, Jan. 8 /CNW Telbec/ - The Canwest decision to put its chain of newspapers into bankruptcy protection is a sad but clear affirmation that concentration of media ownership wasn't good for consumers, employees and investors, says Canada's largest media union.
"It is important to note these papers are profitable, but they were encumbered by the enormous debt of too ambitious ownership," says Peter Murdoch, Vice President Media for the Communications, Energy and Paperworkers Union of Canada. "It is our hope that whomever are the new owners, they will not handcuff themselves by a debt load in the process."
"We have been told that some employees on salary continuance will be hit immediately by this decision. But the CCAA process can last months so it is too early to say what the final fallout may be, but the union will be there to ensure the workers don't pay the price for mistakes made by millionaire owners," adds Murdoch.
"These papers have been essential to the democratic flow of information about communities across the country and our national politics. We need responsible ownership who treat the papers with more respect than a simple gamble on the stock market."
The union represents approximately 1,800 workers at Canwest newspapers.
SOURCE Communications, Energy and Paperworkers Union of Canada
For further information: For further information: Peter Murdoch, (905) 516-5720