Latest news with #costcutting
Daily Mail
7 hours ago
- Business
- Daily Mail
CNN cracks down on outrageous employee perk as pampered staff face salary cuts
CNN is set to unleash a flurry of cost-cutting measures while enforcing new rules to curb staffers' lavish spending. Starting July 1, employees will need to submit receipts with their expense reports for things like travel and source meetings, Status reported. The edict comes as beleaguered staff continue to reel from last week's news that the network will be cast off to an entirely different company with the rest of Warner Bros. Discovery's declining cable assets. Employees are also set to face salary cuts amid rumors of a possible sale of CNN. More than half a dozen staff members told Status that anxiety is rife at the network. The incoming CEO of the soon-to-be spin-off, Gunnar Wiedenfels, is fueling the unease. Anchors raking in seven- and eight figures have targets on their back thanks to competition matching and surpassing ratings at a fraction of the cost, Status reported. Correspondents who collect hundreds of thousands of dollars annually are also set to see their salaries trimmed. Status pointed out how many go days - and sometimes weeks - without appearing on air. Many are not being required to file digital stories. Foreign bureaus that cost a great deal to maintain could also be cut. Staff who survived the cuts imposed by Warner Bros' Discovery CEO David Zaslav predicted even more bitter times ahead. Staffers reacted nervously to being relegated to what's being billed as the 'Sh*t Co.' wing of WBD, a television giant once known for its perks. 'Everyone is wary and tired and there is so much change that we don't understand what direction the company is going in,' one 'prominent network journalist' told Status. The 'rank and file are nervous like the pre-cuts time' and have 'no confidence and no trust' in leadership, added another. 'There are people who think CNN won't exist at some point, ' a third admitted. 'Hard to believe that will happen, but there are people who feel that way.' Their unease comes as WBD CFO Wiedenfels, 47, sent out a staff memo with the subject line 'Excitement for the Future,' in which he talked up CNN and pledged his 'full support' to the network, Status reported. Wiedenfels also vowed CNN would 'continue to operate with full editorial independence. ' Last week, WBD revealed that the new spin-off, Global Networks, would be led by Wiedenfels. He and Zaslav have invested $100 million in CNN's future as a streaming product, including the re-hiring of several of the original executives laid off from CNN+, its first failed streaming venture. In his memo to staffers, Wiedenfels said those investments remain 'a critical priority.' Wiedenfels and Zaslav have managed to strip some $21 billion of the entertainment company's once $55 billion debt after years of outsized spending. The media giant recently disclosed that nearly 60 percent of its shareholders voted to reject the pay packages for Zaslav and Wiedenfels, and after Zaslav saw his compensation swell by nearly five percent from 2023 to 2024. Shareholders were reportedly not satisfied with the conglomerate's share price, which was down 7 percent year to date at the time. As of Friday morning, shares were 1 percent higher than they were a year ago, after a noticeable surge since the split announcement. The announcement revealed Warner Bros. Pictures, HBO, and Max will stay with WBD and are expected to fuel growth. CNN, HGTV, TBS, TNT, the Food Network and other struggling cable channels will go to the new company. Meanwhile, CNN mainstays like Anderson Cooper and Jake Tapper
Daily Mail
a day ago
- Business
- Daily Mail
A £1bn bonfire of SNP quangos and bloated public sector? Don't hold your breath!
Quangos will be merged and jobs axed under SNP proposals to strip £1 billion a year of costs from Scotland's 'bloated' public sector. In a blueprint described as 'word soup' by unions and opposition politicians, measures considered will include cutting spending by a fifth on the 'corporate functions' or backroom costs of the Scottish Government and other public bodies over the next 10 years. Public Finance Minister Ivan McKee said it included proposals to 'remove, amalgamate or change' the number of public bodies, as well as sharing backroom services between different organisations. New guidance on redeployment and severance policies for public sector bodies will also be introduced, while there will be a greater shift towards digital services and communications. Opponents dismissed the proposals as a 'wish list' and condemned the lack of details about where the savings would be made and which quangos will be asked. Scottish Conservative finance spokesman Craig Hoy said: 'After much hype, the SNP government has produced a 49-page wish-list of word soup that fails to mention waste once. 'It begs the question as to why the SNP have not thought to make these savings at any point over their 18 years in power while they have been wasting taxpayers' money on a colossal scale. 'There is still an astonishing lack of detail as to where these savings will be made, or what quangos will be axed. The public simply will not trust the SNP to suddenly tackle the enormous waste they have presided over.' McKee said: 'Through the tools at our disposal, the efficiency workstreams in our strategy will reduce identified costs on Scottish Government and public body spend on corporate functions by 20 per cent over the next five years, and that equates to an annualised £1 billion cost reduction by 2029-30. 'This will require every part of the public sector to reduce the cost of doing business to prioritise the front line. All public bodies are already required to deliver best value, but this is about going further and faster. It is about taking all available opportunities to introduce and embed efficiency through automation, digitisation, estate rationalisation, and changing the delivery landscape. 'This is about delivering significant change - including structural reform in government and for public bodies, where that is needed.' He said there needs to be 'better joined-up services' and the public sector needs to be 'ready to reshape our workforce', and added: 'Everyone recognises that things must change, but that creates challenges, as well as opportunities, for employees. 'So we will work with partners, staff and trade unions to ensure we have the right number of people in the right roles to deliver real and meaningful change, and that staff very importantly are empowered to make services better.' During his speech, he also admitted that 'despite increased investment, public satisfaction with services has fallen'. The document published yesterday set out 18 different 'workstreams' where reforms can be introduced, as well as some specific proposals. Most of the measures still lack full details or costings and will continue to be worked on by officials. One proposal is to 'remove, amalgamate or change the number of public bodies where doing so will increase efficiency, remove duplication and improve service delivery', as well as to 'identify duplication across public bodies and work with those bodies to share processes/services'. Other plans propose to share services between different bodies, while the document also promises to consider new 'ways of working' for staff. It proposes 'a collective approach to recruitment, promotion and performance management' across public bodies, and a review of reporting and scrutiny requirements. It also promises a shift towards digital services, with 25 per cent of all Scottish Government, agency and quango correspondence by digital means by 2030, which it said would save £100 million a year. A pilot of a Scottish Government app as 'a gateway to personalised public services' is also proposed for this financial year, with the first use expected to be for 'proof of age'. Data on corporate function costs will be collected and published on all public bodies to 'drive efficiencies' and remove duplication, while new financial targets will be set for operating and staff costs. The plan also talks about 'promote best practice guidance for workforce change', including the approach to redeployment and severance policy. The Scottish Government will also 'further develop our shared services thinking and propositions across a range of services'. Trade union leaders hit out at 'illogical' cuts to staffing at a time of growing pressure on services. STUC General Secretary Roz Foyer said: 'Whenever government ministers speak of public sector 'efficiencies', workers anxiously hold their breath. 'These cuts, prepacked as reforms, miss the mark entirely. Simply put: you can't fix public services by cutting the very people who keep them running. 'Talk of reducing headcount while NHS waiting times spiral, A&E departments are overwhelmed and social care is in crisis is as reckless as it is illogical.' As Mr McKee unveiled the proposals, fiscal experts demanded a full roadmap to public sector reform. At an event hosted by the Institute of Chartered Accountants of Scotland, Stephen Boyle, Auditor General for Scotland, said: 'The Fiscal Commission and others are pointing out that we have a significant gap in the way we spend public money compared to the money that we're receiving, so there are difficult choices coming our way as a country.'
Yahoo
a day ago
- Business
- Yahoo
Tax law might be coming for your free office snacks
A change in tax law may make companies rethink a popular workplace perk: food and drink. Starting in 2026, companies will no longer be able to deduct the cost of on-site cafeterias or takeout for workers who stay late. And accountants say the change probably applies to office snacks and coffee, too. Subscribe to The Post Most newsletter for the most important and interesting stories from The Washington Post. Though the cost of such staff freebies is relatively small in the grand scheme of employee benefits, the potential change in tax law comes as many businesses are trimming expenses in the face of tariffs and economic uncertainty. 'Companies are in cost-cutting mode, and if they don't have some incentives, they will continue to cut back,' said Ellen Kossek, an emerita professor of management at Purdue University. 'We've seen this in Silicon Valley,' she added, referencing the onetime center of such upmarket perks as unlimited vacation time, on-site hair stylists, deluxe cafeterias and coffee bars. Because food can be a powerful motivator - especially at a time when many companies are abandoning remote and hybrid work - Kossek said companies' ratcheting down of staff offerings could affect the broader corporate culture and return-to-office initiatives. 'If you have to pay for your food, it's one less reason to come to the office.' U.S. tax law allow companies to deduct certain business costs, such as insurance, rent and office supplies, from their income before they pay taxes. But meals are treated differently, depending on the category. For instance, a company can deduct 50 percent of the restaurant bill for taking a client or a job candidate to lunch under current law. But a provision that allows companies to deduct cafeteria costs or any meals they provide in the workplace 'for the convenience of the employer' is poised to sunset in 2026. If it does, U.S. businesses would be looking at an additional $300 million a year in taxes, based on estimates by the Joint Committee on Taxation. With congressional Republicans racing to advance President Donald Trump's tax and immigration bill and extend his 2017 tax cuts, some accountants had expected lawmakers to retain the workplace meal deduction. But the House version made an exception only for the restaurant industry, according to Christa Bierma, vice chair of the American Institute of Certified Public Accountants' committee on employee benefits. Unless the Senate makes further changes to the legislation, which tax experts say is unlikely, restaurants will continue to get the write-off. 'For some industries, it is culturally demanded,' Bierma noted of the exception. 'Nobody would want to be the first one to say we're not going to do this anymore.' Ending the tax advantage makes philosophical sense for conservatives, said Tax Foundation analyst Alex Muresianu. Under current rules, a company-paid lunch is essentially a form of tax-free income. And if the employee isn't paying tax, the company should, Muresianu said. 'We want to tax all employee compensation the same,' he said. 'And instead of wages, having employer-provided meals in various contexts is a form of nonwage compensation.' That thinking, though, doesn't align with other provisions in the Republican bill, which treats overtime wages and tips as tax-free. Trump is pushing senators to pass his tax bill by July 4 despite warnings from many economists and some lawmakers about the projected price tag; the nonpartisan Congressional Budget Office expects it to expand the deficit by $2.4 trillion over a decade. In 2017, when lawmakers opted to sunset the in-house meal deduction in eight years, the coronavirus pandemic had not yet driven millions of workers home from their desks. Today, some management experts question the wisdom of removing a business incentive at a time when many workers are chafing at RTO mandates. 'I think the corporate culture will change in several ways,' said University of Manchester professor Cary Cooper, who has researched hybrid work arrangements. Free food can be a powerful motivator, he said. 'If they're taking that away … or minimizing the quality of the food being provided - and there will be companies that will do that - you're not going to motivate people to return to the office.' Cooper suggested that senators consider extending the deduction as they reshape the tax bill. Without a delay, he foresees repercussions for businesses that need employees on-site, such as hospitals. 'In our day and age, I think it's just silly. I don't know why you would want to change the law in that direction at all.' Last summer, Bierma's committee of CPAs submitted a long list of questions and suggestions to the IRS seeking guidance on how companies should plan for the change. It hasn't received an answer. The law clearly removes tax advantages for company cafeterias - businesses can no longer deduct the cost of food, beverages or operations, which are now fully or partly deductible. Also out are meals that employers might provide in the workplace, such as dinner for staffers who stay beyond their shifts. But that leaves questions about more modest niceties. Accountant Richard Pon, who counts law firms and retailers among his clients, is convinced that the deduction will also go away for break-room staples such as coffee, fruit, chips and granola bars. 'Just having a small kitchen … some people will take the position that's not an eating facility. That's not a cafeteria,' he said. 'I think the position of the IRS might say that's an eating facility, no matter how small it is.' Related Content Trump is as unpredictable as ever, even when faced with war Field notes from the end of life: My thoughts on living while dying He's dying. She's pregnant. His one last wish is to fight his cancer long enough to see his baby. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Reuters
2 days ago
- Business
- Reuters
Norway's Statkraft to cut costs by $292 mln, may announce layoffs
COPENHAGEN, June 18 (Reuters) - Norwegian state-owned utility Statkraft said on Wednesday it would cut its annual costs by around 15% or 2.9 billion crowns ($292 million) by 2027, citing increased global uncertainty, higher expenses and lower power prices. The company already announced in May that it had stopped developing new green hydrogen projects due to higher costs and uncertain demand, after it scaled back its hydrogen ambition last year. "Statkraft needs to adapt to the changing market and increased geopolitical uncertainty," Statkraft CEO Birgitte Ringstad Vartdal said in a statement on Wednesday. The specific measures, including any staff reductions, will be identified during the second half of 2025, the company said. Statkraft said it would prioritise near term profitable technologies, including solar, wind and batteries in fewer markets, pointing to slow development of the offshore wind industry. "Offshore wind will play an important role in the power mix in Europe, but the pace of development of the industry has been slower than previously forecasted, and this has impacted the ability to drive down costs in the short term," Vartdal said. The company said it would stop further activities in new projects, including Norway's upcoming allocation round of Utsira Nord, and that it will stop its development activities in Portugal. It added that it would assess its investment in solar, wind and batteries in Poland, but that it would proceed with the development of the North Irish Sea Array project. Statkraft will continue market activities in both Portugal and Poland, it said. ($1 = 9.9445 Norwegian crowns)
CNET
3 days ago
- Business
- CNET
Watching TV Felt Like a Chore Until I Dumped All the Extra Subscriptions
With summer break in full swing, chances are you're streaming more than usual. But if your monthly charges are starting to creep uncomfortably high, you're not imagining it. Subscription fees keep rising, account sharing now comes with penalties, and it feels like every new show requires a whole new app. Streaming is starting to look a lot like the cable bill we all tried to escape. Even bundle deals, which promise more value, often end up adding extra logins, overlapping content, and more confusion. If your streaming setup feels more frustrating than fun, you're not alone. The good news is that a few smart changes can help you cut back on costs without missing the content you actually care about. Here's how to spend less and enjoy your shows a lot more. CNET's latest survey found that on average, we're spending more than $200 a year on subscriptions we're not even using. You've got to start asking yourself the tough questions: Are you actually watching everything you're paying for? Or are your subscriptions just piling up while your money quietly disappears? If you're holding onto five different subscriptions just to keep up with a couple of shows, it might be time to rethink your setup. You don't have to cancel everything -- just get strategic. Here's the simple system I use to cut down my streaming costs without sacrificing the shows I love. It's low-effort, high-reward, and your bank account will thank you. Rotate your streaming subscriptions Some of you may not have cut the cable cord yet and still stream, but if you're thinking of moving from cable exclusively to streaming, it can help save dough. With monthly plans, it's easy to subscribe to a streaming service and cancel if prices rise or the content becomes uninteresting. According to Deloitte's 2025 Media Trends report, the average US household spends $69 monthly on four streaming services. People cancel their streaming subscriptions mainly due to price and availability -- or lack of -- engaging content. Media companies call this behavior "churn." We're calling this the rotation method, and you should try it. The incentive? You save your coin and avoid content droughts. Let's say a series like Andor or Poker Face is set to premiere on a streaming service. Find the total episode count and wait until they're all available at once on a platform. You cancel Netflix, Hulu, Disney Plus, or other services and then resubscribe once all the episodes are available to catch up. Alternatively, you can start streaming a show midseason to cut costs. My monthly guide on which streaming services to cancel can help you keep up. The downside? You won't have immediate access to every show you want to watch and will have to wait until the full season airs. And since many streaming services release new episodes weekly, you might not be caught up at the same time as your friends. If you're someone who prefers to watch episodes immediately when they drop, you may decide it's worth it to have multiple subscriptions at a time. If you have patience, however, you can save some money. The strategy can also work if you have a live TV streaming service to watch a particular sport or major event like the WrestleMania or Super Bowl. Once the season wraps, cancel the service or move to a cheaper platform with fewer channels, like Sling TV. Need help figuring out the best way to rotate? Follow the tips below to learn how to churn streaming platforms until your wallet feels content. Now Playing: How to Get Hulu and Max for Free With Food Delivery Memberships 01:07 Tip No. 1: Cancel your subscription before getting charged Set calendar reminders for your billing cycle and upcoming TV show or movie release dates. Give yourself enough warning to begin or end a subscription. Apps such as JustWatch, TV Time and Hobi help you track when and where TV shows and movies appear on a streaming service. And JustWatch added a tracker specifically for sports. If you have a smart home device from Google or Amazon, you can set reminders for specific dates and allow a voice assistant like Alexa to notify you of an upcoming bill or streaming release date. Tip No. 2: Sign up for streaming service deals Look for discounts on streaming services. For example, Starz regularly offers months-long deals that slash its $11-per-month price. You can also take advantage of the Disney Bundle, which provides access to Disney Plus, Hulu and ESPN Plus in a single package for a reduced price. And eligible Hulu subscribers can add on Disney Plus for $2. Lastly, be sure to look for student discounts and check with your mobile carrier to see which ones offer free or discounted streaming subscriptions. Tip No. 3: Pick one or two default streaming services Subscribe to one or two must-have services for the year, and select only one or two more options to fit your monthly budget. Rotate the bonus service(s) according to what you want to watch, ensuring you don't miss your favorite shows while sticking to your monthly spending cap. Tip No. 4: Use monthly billing only Avoid annual subscriptions and pay attention to your auto-renewal payment dates, even if it means using one of these tracking apps. Your billing cycle can help determine when it's the best time to quit a service, even if you've only signed up for a free trial. The only advantage to signing up for an annual plan is when the price is drastically cut down. Tip No. 5: Don't cancel your subscription, pause it Hulu allows you to pause your subscription for up to 12 weeks, and Sling has a similar option with stipulations. Check with your streaming provider to see if you can take a temporary break without canceling. Give it a shot, and if you don't like it you can always resubscribe. For more excellent tips on streaming TV, check out this guide to Netflix's hidden tricks and our tips on the best VPNs.
