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Thumbs up New YLEs cost-cutting plan may cut channels - 12-November-2009, 01:30

YLEs cost-cutting plan may cut channels



The Finnish Broadcasting Company YLE may be forced to cut back on its broadcasting channels. The company will first try to slash costs through other means, due to the drop in funding expected over the next few years. YLE must save 31 million euros by the year 2012.

The television licence fee is not being increased as much as the companys leadership expected. In addition, the introduction of the media fee, which is intended to replace the television licence fee, is expected to result in much less money for the public broadcaster.

YLEs Director General Mikael Jungner does not want to make any speculations yet on whether the company will have to resort to cutting jobs or channels. For the moment, the broadcaster is focusing on ordering fewer programmes from external sources and giving up some of its expensive sports broadcasting rights. In addition, staff levels will be reduced through natural attrition. Junger admits, however, that if these and other measures do not work, YLE will have to consider cutting down its radio or television channels.



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