Atty. Felipe Gozon, President and Chief Executive Officer of giant network GMA 7 has addressed the issue surrounding the company’s manpower reduction program.
During a network briefing last week, Gozon announced that the network will continue job cuts in its main office in Quezon City.
“We’re done with regional offices, but here in the main office, we still have to know by how many; we’re constantly reviewing,” Gozon said.
Regional offices including Cagayan de Oro, Bacolod City, Naga City, and Ilocos were shut down to cut operational costs. Reportedly, about 100 employees including reporters, cameramen, and drivers were axed from the company.
GMA 7 is losing money
While Gozon disclosed that the manpower reduction is a “continuing process”, he also admitted the reason behind the network’s move.
“Lugi kami eh. Wala nang ratings eh. In short, wala nang silbi. Lahat naman ng managers ay ginagawa ito. Kung hahayaan mo lang, eh ‘di maba-bankrupt ka,” he told reporters.
(We were suffering a financial loss. We had low ratings. In short, there’s no use. All managers do this. If you’ll allow this to happen, you’ll end up getting bankrupt.)
Last week, news about businessman Ramon Ang losing interest in buying GMA 7 emerged. Gozon, who stressed that “the ball is no longer in their court”, denied allegations that labor problems have prevented potential buyers from pursuing a deal with them.
2015: A Better Year for GMA 7
Despite the challenges the network is facing, Gozon revealed that the company has increased its net income by 25%, from P326 million in 2014 to P408 million in 2015. Its revenues climbed up by 5% from P2.85 billion last year to P3.01 billion this year.
