In March, Ofcom decided that certain episodes of a show hosted by MP Jacob Ress-Mogg were not acceptable. (Screengrab via GB News/YouTube)
GB News announced on Saturday that it is reducing its workforce by cutting 40 jobs, which accounts for almost 14% of its employees, due to its increasing financial losses.
The network incurred a staggering £42.4 million operating loss for the fiscal year ending May 2023, which was higher than the prior year’s £30.7 million loss. It is also under scrutiny from media watchdog Ofcom for multiple breaches of impartiality.
The job cuts are part of a broader plan to stabilize the company, which is also dealing with a boycott from advertisers and challenges in retaining top talent. Employees who choose to take voluntary redundancy are being offered up to two months’ salary and possibly more compensation. One employee described the atmosphere as having a “real ‘last days of Saigon’ vibe.”
During a meeting with the Lords Communications and Digital Committee in March, CEO Angelos Frangopoulos expressed strong confidence in the company's ability to achieve financial self-sufficiency, while acknowledging that there is still much work to be done. In an effort to broaden its financial reach, GB News has expanded its digital presence and introduced a paid membership model offering exclusive content and events.
However, the decision to make employees redundant comes at a time when the network continues to receive strong support from its parent company, All Perspectives Limited, which has invested £41 million in the venture in the past year alone.
